I read a first article on this days ago, that went much more in depth into this actual business field. Something like "multi-player video games". It is a very complicated field. Companies can literally invest $200 million in a single game, with development and marketing. Comapred to other comanies in this field, Schilling was under-capitalized from the beginning. However, their first game did reasonably well.
Schilling went to the highest bidder. That is good business. He lost a lot of his own money as well.