pgtl_10 said:
1. The problem with this logic is that game prices supposedly rose to make up for rising game costs. The twenty million dollars extra you claim makes a game free actually only allows the developer to reach the profitably they would have in previous generations.
Profits made last generation are irrelevant. What matters is what their options are for making money right now.
pgtl_10 said:
2. GTA 4 is believed to cost a $100 million.
And GTA has already made that 100 million back.
More related to the point, they've already sold ~4.16 million units in the NA region alone.
Estimate the rest of the world by what we've been told and include shipping totals rather than retail, and we're easily looking at $70million gross above what it would have done on the Wii at $50.
Either way, I think everyone here can easily admit that GTA is an exception to the rule when it comes to game budgets, on Wii, HD consoles, or wherever. It's not a great example to use for budget.
I know you're not going to try and argue that Rockstar would have put out GTA:Wii for less than 10 million bucks, right. So I don't really understand the point.
pgtl_10 said:
3. Most Wii franchises don't come close to $10 million. I highly doubt top franchise would cost more than $8 million (There are exceptions of course)
All right.
I'll even give you the lowball estimate.
At 4 million sales for the next Resident Evil game, the difference in game-budget could be 40million dollars and it would still break even between the two options.
So you could take this ridiculously low 8 million dollar budgetted Resident Evil Wii game, and compare it directly with a blockbuster 48million budgetted Ps3/360 game and they will generate the same revenue.
That's a damning statement for break-even considering the relative size of userbases right now. Especially since I can tell you right now that in terms of damaging your brand, a cheap-o 8 million dollar RE main series title would seriously hurt their next title.
pgtl_10 said:
4. Namco said that they need double the sales to break even for a 360/PS3 game than a Wii game.
"Double" means nothing.
What kind of numbers are they talking about. What kind of games.
250k vs. 500k?
500k vs. 1m?
1m vs. 2m?
Depending on the scale of the game, that "double" is going to be a very different feat of accomplishment.
And, honestly, if all you have to do is sell two times as many copies of Soul Calibur 4 as you did of Soul Calibur Legends, then big deal. They'll do that in their sleep.
Namco has said a lot of things.
They are all too vague to be taken seriously.
What doesn't change is that there is a 20% gross revenue gap between the two options. That's a lot bigger than people give it credit for.