Monday, April 03, 2017

Another One Bites The Dust

The times are changing when even the off-brand controller market starts to crumble. Effective March 30th, all of the Mad Catz corporate directors and officers resigned and the company is undergoing liquidation. The news was announced via a press release. Which is odd given that the website looks totally fine. There are no announcements about the company going under. You can still purchase products from their store too.

The news isn't much of a surprise to insiders, as the company has been struggling for the past few years. Last year nearly 40% of their staff were laid off. The company was founded in 1989 and has been a staple in GameStop stores as an off-shoot of major controllers. Why spend $59.99 on a new XBox 360 controller when you can get the same thing from Mad Catz for $20 less? They had decent products, and were known for creating some of the joysticks and game pads used in fighting games. But as controller life spans increased and the quality of the systems improved, Mad Catz foot hole started to slip. Not to mention, better gear was on the market for a lower price. This past year has seen their most trouble, putting money into developing accessories for Harmonix and releasing re-skins of arcade controllers that didn't offer any new innovation.

What is most likely to happen is that Mad Catz will be sold off to the highest bidder, with the money being used towards their debt. If the company will continue after this, that's up to the new management team. But for now, Mad Catz will be selling everything they have to pay those bills.


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