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shams on 22 February 2008
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krik said:
DOATS1 said:
if $20 million is expensive, then what the hell is microsoft doing payin $50 million for episodic content??

Microsoft got screwed on that one... ouch

No.

The 50m is a "down payment" on revenue from the episodic content - its not a "bonus" payment for the content. Say $10 / episode, that's only 5m sales (across two episodes).

So MS collect all the revenue for the first 5m sales - then Take2 start getting money after that.

For a cashed up company like MS - its a very simple, and smart move. 

 



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