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Forums - Gaming Discussion - How far away are we from seeing games like Horizon: Zero Dawn and Spiderman 2018 on Switch/Switch 2?

Chrkeller said:
Soundwave said:

This is going to be lost on you because I don't think you can understand basic economics and this is probably way above your head, but for everyone else who might care to actually learn something, here's actually a factual run down on how budgeting works in video games and why Sony is telling their developers that going above 350 mill in budget even for massive budget games is getting into a very dangerous spot. 

This is from Sony's internal data leak, this is their numbers on Spider-Man 2018 which sold over 20 million copies

So we have just under 800 mill in net sales (very good). Development costs is your dev budget, COGS for people who don't know is shorthand for Cost of Goods and Services, Marketing is well marketing. 

We see that on this game Sony made minus Marvel's royalty (which is in line with what 3rd parties pay for their own licensing fee so this is actually an example you can use roughly for a 3rd party too) is separate from the budget. All told after everything it comes out to about $352 mill in profit, quite good no?

Now Spider-Man 2018 had a 128 mill dev budget (says so right there), Spider-Man 2 on PS5 had a $300 million dev budget. If games get into the $350-$400 range you can see why Sony is worried. A 350 mill budget on this same game would take a massive chunk out of that 352 mill profit, it more than halves it. 

It's not bullshit, if the dev cost becomes $350-$400 mill almost their entire profit margin with sales in the 20 million sales range get wiped out. 

Sony is not greedy when they are internally telling their devs that going over $350 million is a massive problem. They are 100% correct in telling their developers they can't go over $350-$380 mill because it makes their games barely profitable even at a 20 mill sell range. 

You can also probably understand now with Starfield at $400 million why even Microsoft with sales probably nowhere close to Spider-Man 2018 got whiff of that Starfield stink and went running to "test" PS5 ports. 

Spiderman 2 is currently the 13 best selling game in the US this year.  Thus it is still making money. 

This will likely be beyond you, since grade school economics is beyond your comprehension, but Playstation is brand.  Not only is Sony making money from spider 2, but Sony is making money on DLC, third party licensing fees and PSN subscriptions.

Sony isn't hurting for money.  The rich want more, as always, and you are silly enough to fall for it.  

Their internal documents say otherwise. $350 million is a danger zone, they say so themselves, you can shoot all the hot air out of where ever all you want, Sony's internal docs say it in black and white, that's what they actually think and these are the numbers they are looking at.  

I am taking their word for it over yours and doing even rudimentary math you can see exactly why they are worried. At 350 mill budget most of Spider-Man 2018's profit margin is wiped out. That's not greed, that's the business reality. 



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Soundwave said:
Chrkeller said:

Spiderman 2 is currently the 13 best selling game in the US this year.  Thus it is still making money. 

This will likely be beyond you, since grade school economics is beyond your comprehension, but Playstation is brand.  Not only is Sony making money from spider 2, but Sony is making money on DLC, third party licensing fees and PSN subscriptions.

Sony isn't hurting for money.  The rich want more, as always, and you are silly enough to fall for it.  

Their internal documents say otherwise. $350 million is a danger zone, they say so themselves, you can shoot all the hot air out of your rear end you want, that's Sony's internal docs say it in black and white, that's what they actually think and these are the numbers they are looking at.  

I am taking their word for it over yours and doing even rudimentary math you can see exactly why they are worried. At 350 mill budget most of Spider-Man 2018's profit margin is wiped out. That's not greed, that's the business reality. 

I've worked for 5 different billion dollar companies.  None of them were ever happy.  Every year it was reduce operating costs, sell more goods. 

Sorry bud, this is how the real world works.  

Sony is making billions..  keep falling for corporate sob stories like a good little boy.  That is exactly what they want.  



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Chrkeller said:
Soundwave said:

Their internal documents say otherwise. $350 million is a danger zone, they say so themselves, you can shoot all the hot air out of your rear end you want, that's Sony's internal docs say it in black and white, that's what they actually think and these are the numbers they are looking at.  

I am taking their word for it over yours and doing even rudimentary math you can see exactly why they are worried. At 350 mill budget most of Spider-Man 2018's profit margin is wiped out. That's not greed, that's the business reality. 

I've worked for 5 different billion dollar companies.  None of them were ever happy.  Every year it was reduce operating costs, sell more goods. 

Sorry bud, this is how the real world works.  

I don't believe anything you say because you say a bunch of crap all the time when ever it suits the conversation, in a discussion that had the stock market brought up you went from having no initial interest or stated understanding about that to later saying you had like some big portfolio, it's pretty transparent you lie about that sort of thing. 

Although none of that is here nor there. I don't even care that you bullshit about that stuff, to the actual topic being discussed here:

Sony's internal documents tell us exactly what they think about budgeting, we don't need to guess or speculate. It's out there and can be read by anyone. If $350 mill is a danger zone for Sony, 3rd parties are likely well below that even big ones. This isn't a debate, you might as well debate the name of the next COD game when Activision has already said it is Black Ops 6. 

Last edited by Soundwave - on 12 June 2024

Soundwave said:
Chrkeller said:

Spiderman 2 is currently the 13 best selling game in the US this year.  Thus it is still making money. 

This will likely be beyond you, since grade school economics is beyond your comprehension, but Playstation is brand.  Not only is Sony making money from spider 2, but Sony is making money on DLC, third party licensing fees and PSN subscriptions.

Sony isn't hurting for money.  The rich want more, as always, and you are silly enough to fall for it.  

Their internal documents say otherwise. $350 million is a danger zone, they say so themselves, you can shoot all the hot air out of where ever all you want, Sony's internal docs say it in black and white, that's what they actually think and these are the numbers they are looking at.  

I am taking their word for it over yours and doing even rudimentary math you can see exactly why they are worried. At 350 mill budget most of Spider-Man 2018's profit margin is wiped out. That's not greed, that's the business reality. 

You don't have to take his word just look at most upcoming games and can clearly see they all have upgrade to graphics similar spiderman 2 if not bigger. 



zeldaring said:
Soundwave said:

Their internal documents say otherwise. $350 million is a danger zone, they say so themselves, you can shoot all the hot air out of where ever all you want, Sony's internal docs say it in black and white, that's what they actually think and these are the numbers they are looking at.  

I am taking their word for it over yours and doing even rudimentary math you can see exactly why they are worried. At 350 mill budget most of Spider-Man 2018's profit margin is wiped out. That's not greed, that's the business reality. 

You don't have to take his word just look at most upcoming games and can clearly see they all have upgrade to graphics similar spiderman 2 if not bigger. 

I don't see that at all. "Most upcoming games", lol really. 

The fact is if $350m is getting too rich for Sony's blood, most 3rd party games even from big 3rd parties are going to be well below that.



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Soundwave said:
Chrkeller said:

I've worked for 5 different billion dollar companies.  None of them were ever happy.  Every year it was reduce operating costs, sell more goods. 

Sorry bud, this is how the real world works.  

I don't believe anything you say because you say a bunch of crap all the time when ever it suits the conversation, in a discussion that had the stock market brought up you went from having no initial interest or stated understanding about that to later saying you had like some big portfolio, it's pretty transparent you lie about that sort of thing. 

Although none of that is here nor there. I don't even care you bullshit about that stuff, to the actual topic being discussed here:

Sony's internal documents tell us exactly what they think about budgeting, we don't need to guess or speculate. It's out there and can be read by anyone. If $350 mill is a danger zone for Sony, 3rd parties are likely well below that even big ones. 

Link?  When did I ever say I wasn't invested in the stock market?  Got any evidence to back that claim?  I've been invested in the stock market for over 20 years and have worked for some of the world's biggest companies.  

But glad to see you staying mostly consistent.  You are losing yet another argument and have gone with your BAU goalpost shift.  



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Chrkeller said:
Soundwave said:

I don't believe anything you say because you say a bunch of crap all the time when ever it suits the conversation, in a discussion that had the stock market brought up you went from having no initial interest or stated understanding about that to later saying you had like some big portfolio, it's pretty transparent you lie about that sort of thing. 

Although none of that is here nor there. I don't even care you bullshit about that stuff, to the actual topic being discussed here:

Sony's internal documents tell us exactly what they think about budgeting, we don't need to guess or speculate. It's out there and can be read by anyone. If $350 mill is a danger zone for Sony, 3rd parties are likely well below that even big ones. 

Link?  When did I ever say I wasn't invested in the stock market?  Got any evidence to back that claim?  I've been invested in the stock market for over 20 years and have worked for some of the world's biggest companies.  

But glad to see you staying mostly consistent.  You are losing yet another argument and have gone with your BAU goalpost shift.  

Leaked Sony docs tell us Sony views $350 million budget as a danger area/top end range for budgeting. 

Chkeller: That's wrong! Budgets can just keep doubling, tripling, trust me guyz. I win the argument!

If that's the crux of your argument, like sorry, I will take Sony's word for this over yours. Have a cookie as a participation trophy by all means tho. 

That data leak is for anyone else who cares really fascinating, it gives you a great insight into what the business is actually about these days, well worth digging into and it's unfiltered too, it's what they really think, not the PR line they sell. The fact that this wasn't discussed much (again on a sale forum) here is laughable. It's a huge deal that all that leaked. 



Soundwave said:
zeldaring said:

You don't have to take his word just look at most upcoming games and can clearly see they all have upgrade to graphics similar spiderman 2 if not bigger. 

I don't see that at all. "Most upcoming games", lol really. 

wilds is taxing the hardware

fable looks mind blowing

doom look like a massive upgrade

phantom blade looks amazing for  action game

black myth wukong is delayed cause of series s

star wars out laws  looks a good deal better then previous ubi games so does the new samurai ass creed

gta 6 looks mind blowing

perfect dark and the new gear of war game.

Please name these upcoming big names that just look like ps4 games or are not making graphical upgrades anymore cause of budgets cause i'm not seeing any.

 

 



Soundwave said:
Chrkeller said:

Link?  When did I ever say I wasn't invested in the stock market?  Got any evidence to back that claim?  I've been invested in the stock market for over 20 years and have worked for some of the world's biggest companies.  

But glad to see you staying mostly consistent.  You are losing yet another argument and have gone with your BAU goalpost shift.  

Leaked Sony docs tell us Sony views $350 million budget as a danger area/top end range for budgeting. 

Chkeller: That's wrong! Budgets can just keep doubling, tripling, trust me guyz. I win the argument!

If that's the crux of your argument, like sorry, I will take Sony's word for this over yours. Have a cookie as a participation trophy by all means tho. 

That data leak is for anyone else who cares really fascinating, it gives you a great insight into what the business is actually about these days, well worth digging into and it's unfiltered too, it's what they really think, not the PR line they sell. 

So no link or evidence to back your false claims about me?  Cool.  Just letting everyone see your true colors.  



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Chrkeller said:
Soundwave said:

Leaked Sony docs tell us Sony views $350 million budget as a danger area/top end range for budgeting. 

Chkeller: That's wrong! Budgets can just keep doubling, tripling, trust me guyz. I win the argument!

If that's the crux of your argument, like sorry, I will take Sony's word for this over yours. Have a cookie as a participation trophy by all means tho. 

That data leak is for anyone else who cares really fascinating, it gives you a great insight into what the business is actually about these days, well worth digging into and it's unfiltered too, it's what they really think, not the PR line they sell. 

So no link or evidence to back your false claims about me?  Cool.  Just letting everyone see your true colors.  

No sorry, I'm not going to dig through 8 months of threads just to play stupid games with you. You said it, I remember it so I stated it as much. You're not worth the time or effort to do that. I'm just saying that to save you the trouble of making comments like "I have XYZ stock portfolio, I have worked for billion dollar companies, etc. etc.", not that it's even really relevant to the conversation but your past behavior makes me highly skeptical of comments like that. 

The bottom line though is Sony has told us for them what is budget range is too high. It's in their internal docs, you don't really have any kind of case to argue against it. You might as well also argue the Playstation 5 isn't actually named the Playstation 5 while you're at it.