Sony halves fees for PlayStation 3 software development

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Dallinor said:
I'd imagine some PSN games are very profitable. Super Stardust HD has over 80k in sales.

82k x 9.99 = $820,000.

I've no idea how much it cost to make, but I'd have to imagine that's very profitable.

Making dev kits cheaper will only increase profitability.

Not saying its not profitable.

I would want a budget of around $250k US for a PSN title - approx.

Assume Sony's fees are close to that of Ninty/MS - around 35%. Developer gets 65%.

$820k x 65% = $533k

Minus $250k --> $280k profit.

...

Equiv title on 360/Wii would sell 50% more units - and 50% faster (if not more).

My budget for the same project on the Wii --> $100k US. 

Same/similar game on the Wii: 120k x $10US = $1.2m.

Minus $100k, x65% --> $680k

(around 2.5x the profit)

I know the service has been running for a while, but check out which XBLA titles have sold 100k units (plus) - about 60% of them:

http://vgchartz.com/news/news.php?id=626 

...

You would need to prove that PSN titles would sell more, and sell faster - which I just don't believe they would. Less competition only helps so much. This would also be one of the better selling PSN titles - I'm pretty sure a higher % of PSN titles would not break even, compared to XBLA or WiiWare.

Be interesting to see some solid numbers for the PSN for comparison - its one of the things SONY could do to attract more developers to their platform. Or just issue 5x $250k grants every month  (pocket change) to fund PSN indy developers.

(we know there are about 100VC titles, and with close to 8m-10m units sold --> average 100k sales per title - but they are a little different, in that there is no/little dev cost - and they ARE old titles - so will sell based on reputation more than anything else)