DonFerrari on 20 December 2014
DexInDaJungle said:
DonFerrari said:
| DexInDaJungle said:
Microsoft doesn't pay Ubisoft $60 per game to bundle it in though. It's like any other business deal, when you buy in bulk, in the millions for example you get a much lower price than the retail price. And if the games were digital (one of them was I think? Not sure) then it would be even less.
Also the gift card thing was an offer from the store, not directly from Microsoft. They do that to get more people to go to their stores over Best Buy, Gamestop and so on.
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I know that I was putting 60, because it was 2 games... and sure they probably paid even less than 30 per title, but lost royalty can also be considered a loss since the buyer with already 2 games will have less reason to buy a lot of SW... but we could downcut that even further.... but anyway it costed MS a lot, but this kind of loss this early in the gen lets a lot of time to recover on SW... I know on my PS3 I have like 120 retail titles, and PS4 only 5, so Sony will still collect a good amount of money of me, and there are a lot of MS buyers that are similar (and they had the best attach ratio last gen), so even if they lost 100M on November promotions alone that is moskito bite for MS and they probably will recover that on X1 SW alone on 2015 from only those customers.
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Oh my bad, I thought you meant $60 each. Misunderstood. But yeah I agree with you, it might seem like a big loss right now but it will be worth it in the long run.
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No problem... seeing that they won't pay retailer profit, their own royalties and other costs the publisher probably only got 10-20 per game.
