theRepublic said:
I think you misinterpreted the article. The way I read it is the publishers make $1 per copy only after they recuperate their costs. Before that it sounds like they take as much as possible since they paid the developer up front to make the game. The developer then makes nearly 45% of the remaining $59. That means $26.55 at best, not $30 to $40. This is only after the game starts making a profit. The rest goes to retailers, distributers, licensing fees, etc. |
The article makes no such assumptions as to who takes what percentage other than the ones given..So why assume the publisher makes more than the stated revenue?
There are lots of variables on the Gears of War estimate. Licensing (which was/is 5% of the pie) may or may not be needed for any given game. Marketing (7%) can also greatly vary....What if the marketing team is in-house? Also, corporate costs and hardware development would be associated with developer costs, I'd think.
So it really depends on how you want to quantify it.
I gave an esitmate of $30-40 profit for developers. The low end of the spectrum would be $25 in very bad cases, but it could near $40 if the right requirements were met (lower marketing budget, no licensing).
Back from the dead, I'm afraid.
