cycycychris said:
Don't forget that third parties don't get all that $10 back. 30 percent still goes to Nintendo. So were looking at $7ish. And the cartridge is probably like 2 dollars(just making a number up). So in theory they are making $5 or so extra profit on switch. |
In percentages that $10 extra only adds $4.50 to the publisher. Actually it's not $10 extra as Europe includes tax, which is currently 21.4%, so it's only $3.70 more for the publisher. Making a mrom template is very expensive so there are higher base costs next to higher production costs. If they don't expect to sell all that many then those base costs need to be shared over fewer sales.
Small extra costs at the manufacturing phase quickly escalate at the retail end, hence the effort to save as many pennies as possible at the production stage.
