Serious_frusting said:
DarkNight_DS said:
Serious_frusting said:
DarkNight_DS said:
--OkeyDokey-- said:
DarkNight_DS said:
@SpartanFX: I didn't disagree but if you don't make profit off what you are doing. What's the point? If the PS3 is their biggest revenue generator and it's where most of their games were bought for. This means the PS3 was also the biggest reason they lost money. |
Um... how can PS3 be both the biggest generator of revenue and the biggest contributor to their losses? For that to make sense, they'd have to be losing money on each game they sold :S
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Exactly what's happened. Games don't turn a profit until X amount are sold. They lost money off each game sold as they never met the magic sales number.
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ievery game you sell makes profit, more games sold means more profit. unless you are saying that the profits off each ps3 game is so small that they were still not able to to sell enough games to make a profit, i doubt it though |
Read my other post which explains profit and revenue. You don't seem to quite grasp what profit means and how you get profit. If you spent 10 dollars for 10 chocolate bars and sold 3 of those chocolate bars for 2 bucks a piece you still lost 4 dollars. Your revenue is 6 bucks, your loss is 4 bucks.
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i know what it means, i am just saying that they will not sell each disk for the game at a loss. so it fair to say they made some profit off each disk sold. however they were not able to sell enough disks to cover the dev costs of the game meaning no profits overall |
No you don't... you really really don't. Sigh.... they sell each and every game at a loss until they've sold enough games to cover expenses and then they make some profit.
