gnawkz on 06 August 2008
In terms of revenue recognition (or when sales can be recorded as revenue), I believe EA is recognizing their revenue along the same lines as Apple recognize their revenue for the iPhone.
iPhone sales are recognized over a 2 year span ... so the $500-600 Apple receives per phone is recorded as a monthly revenue of $20-$25. I believe this is what EA's doing also, except over a 6 Month period instead of 2 Years.
You probably need to look back as far as Q3 FY2008 to figure out exactly what was sold that allowed this revenue recognition.
