Ubisoft Reports $117M Loss On Sales Drops, Catalog Discounting

[NJ5]

Procrastinato said:

NJ5 said:

 

That's not how the software business works... all the money is already spent before you start collecting revenue, so you don't make profit until you've covered all the costs.

AC2 is making more revenue... how much of a profit it will make depends on its legs, which are completely unknown at this point.

 

The professionals at Ubisoft seem to think the game will even exceed their expectations, and given that their expectations were presumably profitable ones, that sounds pretty good.

Kinda sounds like the Wii games, despite their much-acclaimed low budget, didn't meet expectations, and in fact cost Ubisoft enough that they felt the need to attribute losses primarily to those titles.  Either they weren't all that low budget at all, or they were forced into paying retailers to buy them.  I'm going with the former.

If the Wii games they're complaining about are the ones that famousringo listed, I don't know who Ubisoft is trying to blame here...