Surprised I am typing this but your Marxian analysis fits perfectly.

I'd suspect the programmer is blind to the very specialized knowledge it will take to continue HA effectively. Who else knows the game enough AND can work with the specific algorithm you guys have continuously worked on. A replacement would need to have a specific knowledge of the arena (actually the knowledge of two top arena players bouncing considerations back and forth which is severely under-rated) and know how to either work the system in place or create a new one.

I am guessing the programmer naively believes the two of you are replaceable which I suspect is very unlikely. He was getting great value on two consultants and I can't see one consultant that can match the value put into the HA, let alone for the same numbers.

This just seems very short sighted and I'd guess he is planning to sell because the program is most likely unsustainable with no updated algorithm when new cards get added but with sponsors and cash flow - it could be an attractive buy for someone looking from the outside who doesn't know the specialized knowledge required.

If I were a programmer with the capital, I'd be e-mailing inquiring in order to start doing due diligence to purchase HA. The 33.3% equity (which those two are splitting) and the equity they are asking for given the work and specialized knowledge they have - they are critical to making the HA work.

To the programmer's end holding out 6 months to sell might be a bad idea. As things don't get updated and traffic starts to fall instead of rise - potential purchasers are going to have a much different look at the investment if it isn't growing. I'd assume if his plan is to sell he will look to sell asap and at least the two of you will get something.

If the 50k for 20% is a reasonable valuation, 250k for the whole thing as it sits. I wonder how quick and how much the value diminishes when the main components that make the whole thing work are not part of the project.