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Ka-pi96 said:
DonFerrari said:

Don't think the console maker would lose money (first because they wouldn't be selling the console at a loss at any point, and second because they would be making the average royalties profit on the HW already), but yes it probably would be met with a lot of struggle.

I haven't said or implied that making money of game sales is bad. What I said is that this could reduce second hand and price dropping.

They'd still have spent a tonne of money on developing and marketing the console though so unless they could sell enough consoles to recoup those costs they'd lose money.

That is true, but would be less loss or risk than a situation like PS3 where they subsided a lot of the cost expecting to recoupe on SW.

So your expectation is that if such model of 600 HW and 40 SW would end up selling less HW and thus console maker would lose money?



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."