Sony's gaming unit lost $443 mil 3Q

[FishyJoe]

robjoh said:

FishyJoe said:
You have a LOT to learn how much profit is made from a retail game sale. Do some research before you spout numbers or it makes you sound stupid.

That was unnecessery, especially against a mod if you disagre, start with explaining if they don't listen ignore.

@roadkiller

If you sell 4 million games for 50 USD you got 200 million in total revenue. You have to remove mayby 10-20 USD for retail and so on. Then you have cost for marketing and so on. If it is sonys report that indicates that they are taking a loss, GoW2 should be a part of the equation simple put that they own that game.

 

It took me two minutes to do this research.

Why Gears of War cost $60

http://www.forbes.com/2006/12/19/ps3-xbox360-costs-tech-cx_rr_game06_1219expensivegames.html

Art/Design: 25% (about $15)
Programming And Engineering: 20% (about $12)
Retail: 20% ($12)
Console Owner Fee: 11.5% (about $7)
Marketing: 7% (about $4)
Market Development Fund: 5% (about $3)
Manufacturing Costs, Packaging: 5% (about $3)
Licensing: 5% (about $3)
Publisher profit: 1.5% (about $1)
Distributor: 1.5% (about $1)
Corporate Costs (quantitative analysis, management overhead): 0.3% (about 20 cents)
Hardware development costs: 0.05% (less than 3 cents)