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What I'm still missing in this whole debate is how the developers feel about this. Chances of any revenue on developing for the ouya were never great, with the low ouya sales, having to give a free trial and low game prices. And now with this deal, those sales will be even less.
How will the income from this deal be distributed among those devs, by the way? There is no quality guarantee, and if they just decide to split the money evenly between all the available games (60 bucks to play 800 games means each game will give a game developer 0.07 cents per sold deal) it is basically encouraging those devs to produce MORE games rather than better ones (instead of one 'space wars' with 8 levels, we'll see 'space wars episode 1' through '...episode 8').
Forced free to play has been dropped. It's almost as bad for the industry in general as piracy. People would be FORCED to make good games to get people to buy them and guess what, very few people can make good games. Just look at how many 'big dev' game have been the biggest pile of crap ever created. [off topic] I recently was so disappointed with a free game on a 'real' system that I genuinely felt ripped off, even though the game was 100% free I felt like they had taken something away from me that I'll never get back.[/off topic]
As far as I can tell with this idea is that dev get whatever their asking price is for their games within reason. So if someone participating (currently in trial) downloads your game, OUYA hand over your asking price. However, that might not happen if you try to cheat the system and up your price to a stupid amount. They wont for example hand over $59.99 for a game that would cost $2.99 under regular circumstances. Also users aren't going to take the time to download every game they can find just because after their 30th game they are effectively 'free'. People are still going to avoid the games that don't interest them, just as they do now.