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potato_hamster said:
DonFerrari said:

Sure 5 USD per cart when selling 1M copies is 5M less profit. Now how much profit you make selling 0? Because I'm pretty certain GTA V would make more profit by releasing it.

$5 x 10 million copies -=  $50 million dollars. Can't afford to lose that profit margin.

https://www.tweaktown.com/news/58516/gta-online-earned-1-09-billion-analyst-firm/index.html

What's that? GTA Online has made over $1.1 Billion as of 2017 on 80 million copies (at the time) of the game? That's nearly $14 per copy sold. I can't imagine how Rockstar could make up that $5 per copy in revenue. They'd definitely rather shelve a complete or near-complete copy of GTA V for Switch than eat a $5 hit on the profit margin on the front end. It'd be way more profitable to wait years for the cost to cartridge to decrease rather than try to make that up in GTA Online.

Makes sense.

Yep, calculate the cost of the development, lost revenue and apply that for 3 years and let's see if it was more or less than what they would lose having lower margins.



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."