One of the bigger expenses on a major release is marketing actually, not even the game's development cost. Sometimes the advertising is equal or greater depending on the level of importance.
That's why expectations matter, beyond just the cost of developing the game. Expectation is the real metric they use to determine if a game has succeeded or not, it may have been profitable but not profitable enough. I can tell you for sure that LBP is not a success at all, they're trying to keep it going and supporting it, but it didn't do what it was meant to do yet.
Maybe if they develop the game around gameplay next time it will be more successful.







