Love and Deepspace has been one of Papergames’ biggest successes since its 2024 release, building a devoted audience willing to spend real money on its romance characters. That momentum took a sharp turn in July, when the game recorded its lowest monthly revenue to date amid the fallout over cancelled character Valko.
Love and Deepspace revenue drops sharply
Data from Sensor Data places Love and Deepspace’s July revenue at just over $10 million. June had produced close to $40 million, while the game had never previously fallen below $30 million in a month.
The timing matches the start of the Valko dispute, making the character controversy a likely factor in the sudden decline. The result is significant news for the wider gaming news audience, particularly those following the commercial performance of live-service titles.
Why was Valko cancelled?
Papergames introduced Valko in June as a new love interest planned for Version 6.0, which was scheduled to launch on 9 July. He would have been the game’s sixth love interest, but the reveal quickly divided players.
Many of the critics were based in China and argued that adding another character failed to address requests for more meaningful development of the existing love interests. Opposition became so intense that disgruntled fans reportedly left cow dung at lockers in Papergames’ offices.
On 30 June, only eight days after Valko’s reveal, Papergames announced that it was cancelling both Valko and any future love interests for Love and Deepspace.
Backlash from international players
The cancellation created a second wave of anger, this time largely among international fans. The dispute exposed tensions between different parts of the player base, including a belief among some international players that Papergames had prioritised the preferences of its Chinese audience.
“Bring back Valko” began trending on social media, while several petitions called for the developer to reverse the decision, at least on international servers. At Anime Expo 2026, held only days after the cancellation, fans even created a memorial for the character.
Official criticism of Valko’s storyline
A few days later, the Chinese government addressed Valko in an official post. It criticised the perception that his storyline glorified sexual assault and home intrusion, concerns that had also been raised by Chinese players before the cancellation.
The post warned that games deliberately blurring the boundaries of illegality would be removed. Papergames has not announced any plan to restore Valko, and his return now appears unlikely.
The dispute has reportedly led some unhappy players to leave Love and Deepspace. Whether the audience returns remains unclear, but July’s revenue figures show that the controversy has already had a measurable impact.
What the controversy means for live-service games
Valko’s cancellation demonstrates how quickly a character decision can affect a game with an international audience. It also highlights the difficulty of balancing regional expectations, ongoing character content and government scrutiny in a live-service romance game.
For more coverage of interactive entertainment and the wider arcade scene, explore RETROCADE’s Arcade Blog. Readers considering dedicated hardware can also browse the Arcade Machine Buying Guide, compare arcade machines or look at compact bartop arcades.
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