Like it or not, used game sales do bite into profits made by the developer and publishers. There is really no argument against that.
When you're having to spend more and more and more on development, you want to try to keep your margins as high as possible so you can stay competitive. So what if you make 50 million, if it costs you 45 million to make the game that only gives you an extra 5 million to play around with while the competition just made an extra 30 million to play around with. Odds are their game will be better next time and your going to lose market share.
Business 101. Something we don't see to much of in SWs.
I do buy used games and I will continue to buy used games for as long as I can. I can just see the reasons behind it.
Wasdie
Actually, with the proliferation of DLC there's a pretty compelling argument that used games can be used as loss-leaders to snare gamers that wouldn't be willing to buy a game at full price. You don't have to be a business major to see that, say, Activision is going to make more off of the sale of a used CoD title plus DLC/Elite than no sale at all. Furthermore, there's a long-term investment effect to take into account: if that used sale leads to someone getting hooked on a franchise to the point where they're pre-ordering limited editions and going to midnight launches, the short-term loss related to the used copy is pretty damn insignificant.
This is even more true for Sony, as they sell games not only to directly profit from them, but so that they can indirectly support the PS3 and its related services/products. Again, it's an issue of short-term vs long-term thinking: losing out on a sale may not be ideal, but if it leads to a stronger and more vibrant community on PSN, sales of other games, sales of peripherals like Move or 3D products, then it's a worthwhile loss to take. Even worse, a network pass limits the effectiveness of PSN's free online, arguably the PS3's top selling point over the 360.
We live in a world with a glut of affordable, accessible entertainment: the last thing you want to do is give people a reason not to buy your product.
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