I was reading a BBC article about how the average PS3 game(and we can assume 360) costs upwards of $15 million to make(does not include avertising budget). This peaked my intrest towards how much profit is made per game sold.
Most places I have read have said between $17-$20 of the game sale goes to the developer. That leaves us with a low sales figure of 750k just to break even. Does anyone have a reputable source (I was able to find the numbers in tech blogs and things of the sort) for how much profit is actualy made per game?
If you think about that we could very well see a lot of devs go under this generation.....and more devs getting bought up (an potentially ruined) by EA and companies of the sort. Consolodation of the game market will leave few developers and more game company monopolies. A few flops can ruin mid sized companies.
Will next gen (PS4/XBOX720/Wii 2) games jump another $10 as the average cost of development will run closer to the 30 millon mark(will gems have to sell around a million just to break even)? I am being pessimistic about this but I see a future with less games on each system and the majority of games being multi platform.
This worries me a bit, and its no ones fault per say but I see the near future of gaming being a completly different animal than it is today.
Getting an XBOX One for me is like being in a bad relationship but staying together because we have kids. XBone we have 20000+ achievement points, 2+ years of XBL Gold and 20000+ MS points. I think its best we stay together if only for the MS points.
Nintendo Treehouse is what happens when a publisher is confident and proud of its games and doesn't need to show CGI lies for five minutes.
-Jim Sterling








