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Pemalite said:
Soundwave said:

Final Fantasy 16 + Final Fantasy 7 Rebirth - Two fairly large budget next-gen games with a big name brand and FF7 itself is hugely iconic. Sales results are very disappointing here.

Again. These are meant to drive platform growth, not accrue individual sales.
Final Fantasy tends to be synonymous with Playstation, so if Sony can attract 1 million customers to the Playstation 5 with that game... And Sony has an average attachment rate of 10 titles per console sold, then Sony in the long term just sold 10 million copies of video games.

That is how "loss leaders" can continue to be justified and is a common tactic in many markets.

For example, many Supermarkets across the world will heavily discount a heap of items for the week, potentially selling them at a loss in the hopes it will attract customers who will also make extra supplemental sales

Norion said:

Right now maybe but 10-15 years from now the best quality graphics of today won't cost nearly as much. With how insane UE5 is UE6 might let indie devs have access to photoreal or at least close to photoreal level visuals.

Better graphics doesn't always cost money anyway, often it does the opposite and decreases cost and development time.

Global illumination removed the need for artists to create assets by hand with lighting details baked into textures to make a scene look good.

Tessellation removed the need for modellers and artists to spend a significant amount of time building terrain, they can use the tessellator to scale and add in those smaller geometric details.

That's a good point. It's like how the adoption of ray tracing is gonna make developers jobs easier. Though to reply to what you said above that doesn't apply to those games since Square Enix does not own Playstation. Cause of the recent FF games not doing as well as they wanted they're gonna transition away from taking exclusivity deals and towards multiplatform development.