[QUOTE="bizzybone613"][QUOTE="rowzzr"][QUOTE="bizzybone613"] The reason why I ask is because although gaming seems to be as popular from a consumer standpoint as ever, developers seem to be losing big as technology increases. For example:
Here in GS, there is a thread that states "Heavenly Sword" did 125k so far. With a budget of 20mil, the company has actually lost 12.5mil as of right now. Kilzone 2 has a budget of 40mil right? It would need to do about 650k to break even, which is entirely possible. But how many more "Heavenly Swords" and "Lairs" are going to be made before developers start closing down or being more cautious about what they put out. Especially in the coming generations as Sony, Microsoft, and even Nintendo release "hi-powered" machines with a bunch of bells and whistles. Some games are going beyond current standards like too much content for DVD-9's, but wasted space on Blu-Ray discs.
There are some huge successes like Halo 3, Bioshock, Resitance: Fall of Man, Gears of War, and presumably Metal Gear Solid 4: Guns of the Patriots, and Grand Theft Auto 4. But thats about 5% of consoles library that haven't bust or at least broke even.
Was Nintendo so wrong in keeping developer costs low? Is this potentially the reason why so many developers have jumped on the Wii bandwagon? Shovelware or not, there are less and less big budget games being made.
what do you guys think?
HuusAsking
most of the development costs fall on the graphics department.
Right, and most would agree that those cost will only rise as technology evolves. Obviously, if the next generation were to have current gen specs (PS3, XBOX360), then the technology will be cheaper and developer cost would fall sharply. Unfortunately, as i'm sure you already know, current graphics will not be able to hold a candle to what will be available at the end of this console cycle. So does Nintendo, Sony, and Microsoft go for the gusto and have a machine capable of movie studio graphics with movie studio budgets and time, or hit a wall where developer cost equal out?
I hate to turn this into an econimcs class but, we all do realize that the USD is losing value. As an American consumer, when will the cost of games be too much? $70.00USD, $80.00USD? Why do you think box office sales are low? High studio cost coupled with lack of attendance creates inflation. So hence my original question, can this cause a crash?
Once upon a time, about 15 years ago, gamers paid some $70-80 (which meant a lot more then) for the hottest games...and they still sold well. And this was on the winning console.Part of what happened was that, around 1995, Sony made a commitment that every game to come out for its PlayStation console would cost no more than $50. They could do this because CDs weren't as expensive as ROM chips to produce. But ten years of the $50 cap may have jaded the casuals.
As for Nintendo saving the industry, don't be so sure. Part of the reason for the videogame crash of 1983 (which I should qualify only seemed to apply to console videogames--arcades took their own hits) was an influx of cheap, low-quality games. Hate to say it, but Nintendo's development model is going to lead--inevitably--to an influx of cheap, low-quality games (this very issue was brought up in a recent EGM). Hate to say "Déjà Vu", but it's a possibility.
Another problem is the barrier of entry. Developing good games and a good machine is getting to be problematic now. I'd hate to look into SCE's or MSGS's R&D budgets. Part of it is the looming PC, which can't fully keep consoles at bay yet because of the geek factor (a lack of simplicity in the right places).
You bring up several great points
1. Yes i remember the N64 cartridges being $70.00 - $80.00USD, I was ateenager then so it's still pretty fresh in my mind. I dont know if my parents were the normal consumer, but I only really got N64 games on Christmas and birthdays, mostly. Now that I'm and adult, I purchase games on release.
2. Absolutely yes about people being used to games costing $50.00USD, I almost feel buyers remorse over paying $60.00 for an Xbox360 game.
3. I read that EGM article also while it had its merits it was also flawed from the time it was published. The PS2 was full of shovelware, but had enough quality AAA and AAAE games to justify it. No one is giving the Wii the same chance. We aren't even a year into its lifecycle and its getting bashed because of its library. Granted, Nintendo's approval policy can be stricter, but at the end of the day, its up to the consumers to send a message to developers by not purchasing low quality games. Nintendo got burned big time by lack of third-party support with the Gamecube. They wont allow that to happen again. We're seeing more rockstar games this year for the Wii then the entire life span of the Gamecube.
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