Ouya Creators Start Funding Kickstarter Game Developers with $1 Million

Back in July the minds behind Ouya announced their plans to start funding Kickstarter campaigns for burgeoning game developers.  The Free the Games Fund is built upon the idea that Ouya would match contributions that meet a threshold of a minimum $50,000, a ceiling of $250,000, and all from a  pool of $1 million.

There were of requirements that those developers hoping for funding would have to meet.  The most important being that Ouya would only consider Kickstarter campaigns that launched between August 9th and August 10th of 2013.  However they did provide extra enticement by announcing that the most successful developer would also receive an additional $100,000 on top of any other funds that Ouya’s Free the Games Fund would give them.

Of course there is a catch, any developers who wanted to participate in the Free the Games Fund would also have to agree to grant Ouya a six month exclusivity deal on the game that the campaign is for.  Once they agreed to Ouya’s terms the developers were free to start their Kickstarter campaigns.

The final terms of the Free the Games Fund are that any eligible developers would only receive their funding once their Kickstarter campaign was through.  However again there is a catch, developers will only receive a quarter of their promised sum once the campaign is over.  Then only half of their remaining funds would be released once the game actually launches on Ouya.  Finally the remaining quarter would be granted after the six month exclusivity period expired.

My only question is how exactly can Ouya afford this?  For a console that was funded by Kickstarter did the company really sell enough consoles that they can afford to give away $1 million.? Or is this a case of not having any games?  With a six month exclusivity deal, providing that Kickstarter developers agree to participate in the Free the Games Fund, Ouya would finally start building the game library that they need in order to push their system.  However, this is could backfire.  Kickstarter might have to disclose the fact that the campaign is participating in the Free the Games Fund.  Will people who might potentially donate to these campaigns still do so if they know that the game won’t reach them for six months because of Ouya?

Source: FreetheGamesFund.com