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The issue with creating your own engine aren't so much costs as increasing a lot the development time for the game so making it longer between the time you start development and the time you start getting back money for the sales of the game...

But in the majority of the games today the biggest cost is content creation.



PS3-Xbox360 gap : 1.5 millions and going up in PS3 favor !

PS3-Wii gap : 20 millions and going down !