Namco Bandai's Takasu Says PS3 Game Titles Must Sell 500,000

[FishyJoe]

Pk9394 said:

kber81 said:
This is crap. Does anybody believe they spent almost 20 millions $ for Ridge Racer 7 (they already worked on next-gen RR for Xbox360) and Gundam? Gears of War cost around 12 millions $ - this sounds reasonable. There is no comparison (motion capture performance, art, etc. ) If some game doesn't sell it's not a problem of a system it's a problem of the game itself especially on the very beginning. They just can't provide a new title of a big franchise every 9 months. I believe even Square-Enix can destroy FF and DQ franchise if they won't be moderate. Sega has problem with VF already, RR, DMC is dying too... They just have to provide something new.

10-15$ royalty fee to console maker, 25-30$ profit for each game sold to the developer

now you have $15-$20 left for manufacturing,shipping and retail share of the pie

500000 x $30 = 15mil (paid developing and ad fee)

seem pretty accurate to me....

Not quite accurate. Royalty fee is probably a bit less. I think you are confusing profit with revenue. The developer does not earn $25-30 profit, only revenue. Whether a title earns any profit is decided by development costs and sales volume.