What percentage of Sony & Microsoft's incomes comes from games?

[goddog]

HappySqurriel said:

Shadowblind said:

theRepublic said:

non-gravity said:

theRepublic said:

non-gravity said:

waron said:
Sony is definitely losing money on many ps3 games(if not most of them) cause only few of them sold really well, but they are still making profit on psp/ps2 games and consoles.
most MS profit goes from Xbox Live and Marketplace, Microsoft lost some money on games like Ninja Blade, Too Human and Project Sylpheed cause those are the only games that flopped on 360 that MS released.

Games make a profit at lower sales than you think

Did you know that only 20% of all games on the market make a profit?

That percentage is pretty random

And the industry as a whole must surely be making a profit.

I'll believe Ninja Blade didn't make a profit. Too human might have broke even.

And Sony isn't producing that big bombs

It's true: http://www.gamedaily.com/articles/news/only-four-percent-of-video-games-make-a-profit-ndash-eedar-/?biz=1

The industry is very 'hit-driven'.

I found that article to be highly horse-shit probible.

Its something which has been claimed by many people for many generations, and there is some truth to it depending on what you measure ...

Most large publishers will release 50 (or more) games across all of the platforms (PC, Console, Handheld, Phone and iPod), and the bulk of their revenue and profit comes from a handful of super successful titles. Not every publisher is caught up in this mindset, but part of the reason so many publishers have reported record revenues and record losses in recent years is because the development cost of new games is so high that their unprofitable games are digging a hole which can't be filled by the handful of super profitable games.

that and the never ending cycle of costly ill advised acquisitions, buying IPs lock stock and barrel and not being able to turn a profit on them. funding projects with never ending development cycles and expecting to gain something from them (Duke im angry with you).

 

on the plus side if this generation does drag on 2012+   it should reduce that cost with reusable art assets and reused engines, for the life of me i can not figure out why rock* did not license out use of the city it built for other games, they could have built a whole new industry model, the same goes for crackdown, and saints row.