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Forums - Gaming Discussion - Nintendo 1st party sales profits vs. Sony/Microsoft 3rd party sales profit

 

Who has the most profit?

Nintendo 1st party games. 118 68.60%
 
Sony 3rd party profit chunk. 32 18.60%
 
Microsoft 3rd party profit chunk. 0 0%
 
Microsoft/Sony 3rd party profit chunk. 22 12.79%
 
Total:172

Interesting thread and discussion, to bad it died out so fast :/



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no because if you lookt at the 2014 numbers sony is selling around 65million copies of software more than nintendo. that includes all the games on all their devices. that plus way more digital sales should result in a bigger number than nintendo can get from their first party alone



Samus Aran said:
gergroy said:
nobody talks about it because nobody actually knows hard facts on the issue. My guess is that MS/Sony make a lot more profit from third party titles than nintendo makes from first party. Mostly because they don't have any kind of cost associated with those transactions that has to be recouped before they make a profit and also the much larger volume of sales...

Both the PS and XBOX brand are in the red when profits are concerned.


That doesn't give us any info about the profit from software since it includes losses on hardware.



mr_capello said:
no because if you lookt at the 2014 numbers sony is selling around 65million copies of software more than nintendo. that includes all the games on all their devices. that plus way more digital sales should result in a bigger number than nintendo can get from their first party alone

65 * 7 = $455 million

Pokémon ORAS: 8 million * $25 = $200 million

SSB for 3DS and Wii U: 

6.2 million * $25 = $155 million

3 million * $40 = $120 million

--> $275 million

So Nintendo earned about $475 million in revenue off of their 2 holiday titles last year. This is also not including digital sales.



Samus Aran said:
gergroy said:

that's nice... unless you have a breakdown of where the costs/profits are of third party software, that information is pretty irrelevant to this discussion...

Nintendo doesn't waste their money making shady deals with third party studios and having expensive console bundles with third party games. ;)

Or do you think exclusive marketing, third party games in console bundles, exclusive content, exclusive dlc, timed exclusivety, permanent exclusivety, etc. is free?

its not free, but its a win-win situation, just look at the sales of the PS4 and XB1 and compare them to the WiiU. 



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bananaking21 said:
Samus Aran said:

Nintendo doesn't waste their money making shady deals with third party studios and having expensive console bundles with third party games. ;)

Or do you think exclusive marketing, third party games in console bundles, exclusive content, exclusive dlc, timed exclusivety, permanent exclusivety, etc. is free?

its not free, but its a win-win situation, just look at the sales of the PS4 and XB1 and compare them to the WiiU. 

Sure, but then I look at which company made the most money out of gaming and Nintendo is the only one profitable. Though Sony will likely make more money than Nintendo this gen. In the past it was always the other way around, even during the PS1 and PS2 era.



Nice thread. Will look over it!



Samus Aran said:
mr_capello said:
no because if you lookt at the 2014 numbers sony is selling around 65million copies of software more than nintendo. that includes all the games on all their devices. that plus way more digital sales should result in a bigger number than nintendo can get from their first party alone

65 * 7 = $455 million

Pokémon ORAS: 8 million * $25 = $200 million

SSB for 3DS and Wii U: 

6.2 million * $25 = $155 million

3 million * $40 = $120 million

--> $275 million

So Nintendo earned about $475 million in revenue off of their 2 holiday titles last year. This is also not including digital sales.

I still think , that right now sony is coming out on top if you consider that , around 25% of new games sales are expected to be digital, 48% percent of vita game sales are believed to be digital,  sony allegedly generated around $160 mio in reveneu on digital sales in january alone. nintendo just announced that 11% of their game sales are digital  making them $250 mio in 2014

 

edit I say right now because nintendos digital sales are growing



Samus Aran said:
gergroy said:
nobody talks about it because nobody actually knows hard facts on the issue. My guess is that MS/Sony make a lot more profit from third party titles than nintendo makes from first party. Mostly because they don't have any kind of cost associated with those transactions that has to be recouped before they make a profit and also the much larger volume of sales...

Both the PS and XBOX brand are in the red when profits are concerned.

Sony was allready in plus in 2013 with the last of us release and many PS+ subscribtions before ps4 came out. Sony probably makes now more money than nintendo



Ruler said:
Samus Aran said:

Both the PS and XBOX brand are in the red when profits are concerned.

Sony was allready in plus in 2013 with the last of us release and many PS+ subscribtions before ps4 came out. Sony probably makes now more money than nintendo

It's not about how much they are making compared to Nintendo. It's about bank buffer and right now Nintendo has a WHOLE LOT MORE money to buffer failed products than Sony does. If these above numbers are correct all it would take is for one home console to fail for Sony before they would be forced out of the hardware industry (considering they are still in or around a total loss since the 90's). Nintendo could make half a dozen more consoles that each fail and survive. The ps2 did INSANE numbers, the ps3 had massive legs down the stretch and turned out nicely, and the ps4 is surging, yet Sony still isn't making much and is often times losing money because of 3rd party exclusive deals that cost a butt ton, marketing, selling their devices for a loss, etc. All it will take is the ps5 tanking and Sony is dead. If the Wii u tanks (the rest of its life), the next 4 home consoles tank, and all the respective handheld/fusion devices tank, then only then will Nintendo have made a collective loss over the past 50-70 years (by that point). Talk about an INSANE buffer difference. The present means nothing in the great hardware war. This generation for the ps4 is like Hitler anexing Austria and capturing Poland, all it takes is one stupid invasion of Russia before they are completely destroyed. Nintendo could invade, and lose, to Russia 5-7 times in a row and then and only then finally lose the war. This is the difference. This is the reason why Sony will eventually lose, because they are bound to get at least one failure of a console and that will destroy them (unless they can somehow pull off the consistency that Nintendo did in profit management since 1981).