Venture Capitalists: “We don’t want to invest in hits-driven businesses.”

[richardhutnik]

dolemit3 said:

nordlead said:

The one cool piece of information is that the average game cost a little over $6m. Obviously we don't know if these are SD or HD games, or if they are downloadable or retail. Obviously they are most likely a mix of everthing.

That's 6 million per year, not total. A lengthy title can easily swallow 20 million over 3 years or so.

The industry has issues.  One can develop a Euro style boardgame for a lot less money, and provide replayability that surpasses what you get out of videogames, and an experience that is nearly as engaging.  The only aspect this is an issue is manufacturing costs of the physical components.  If you question this, I can list numerous Euro-style boardgames that fit this criterion. 

The moment the videogame industry is going to have costs rivaling movies to put games out is the moment it is setting up for mass contraction.