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VAMatt said:
DonFerrari said:

There sure is a risk on that. Nintendo would have to calculate very well. And perhaps make deals like "if we don't put any money our royalties are 5% (supposing it's 25% of other manufacturers) if we put XX royalties are 10% and if we put this much royalties are 25%", something like this that assure Nintendo will get not only the game but also good royalties that will be bigger than the expenditure and it sharing the risk with the developer may show a lot of good will.

Yes, I think some sort of risk share makes the most sense.  I wonder if anyone has ever done this.  And, if so, how successful it was.  

MS have done it on buying GTA IV exclusivity to X360 in a way... but I have no idea about a moneyhat involving royalties depending on the success.



duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"

http://gamrconnect.vgchartz.com/post.php?id=8808363

Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"

http://gamrconnect.vgchartz.com/post.php?id=9008994

Azzanation: "PS5 wouldn't sold out at launch without scalpers."