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People see 200 million and think they spent 150 million on advertising... this is false. Before they sell their game they need a game to sell... Basically they need to buy the discs, plastic cases, manuals, and various other things... or at least this is what I gather he meant. This is where the bulk of the money goes which they recieve back immediatly after shipping... Basically goes like this. You need to buy materials out of pocket before having something to sell. Once the final product is finished and sold you make back that money + some which you can A. use to buy more material. or B. consider it profit.

Only 40 million for a game on 3 platforms... is there any doubt left that KZ2 didn't cost 60 million... especially since we have figures for Uncharted, Uncharted 2, GT5, and MW2?