All articles tagged with #development costs
Originally Published 4 months ago — by Gamereactor UK
Cronos: The New Dawn was developed at a surprisingly low cost, less than €23.5 million, challenging the trend of high-budget AAA games and potentially encouraging more developers to focus on smaller, more focused games.
Originally Published 1 year ago — by IGN
Former PlayStation boss Shawn Layden believes that when a video game’s costs exceed $200 million, exclusivity becomes a hindrance, reducing the addressable market. Rising development costs and squeezed margins have led to questions about the future of console exclusivity. Layden and former Xbox boss Peter Moore both emphasize the need to attract non-console gamers and consider multiplatform releases to widen the audience. The industry is under scrutiny following layoffs and studio closures, with Microsoft and Sony making moves to release first-party games on multiple platforms.
Originally Published 1 year ago — by IGN
Sony boss Hiroki Totoki acknowledges the need for improvement in cutting development costs within PlayStation studios, emphasizing the importance of optimizing business and increasing profitability. He also hints at exploring opportunities to release first-party titles on non-PlayStation platforms like PC and mobile to improve margins. This comes amidst concerns over rising development costs and increasing development schedules within the video game industry, as well as Sony's revised PS5 sales forecast for the current financial year.
Originally Published 2 years ago — by IGN
Sony-owned studios were reportedly pressured to make staff cuts due to rising development costs, as revealed by data stolen from Spider-Man 2 developer Insomniac. This sheds light on the challenges faced by triple-A game development. Additionally, the creator of Five Nights at Freddy's has pulled an official Roblox game based on the indie horror hit, citing its release as a major mistake.
Originally Published 2 years ago — by IGN
Sony-owned studios, including Insomniac, were reportedly pressured to make staff cuts due to increasing development costs. Hackers who breached Insomniac released 1.67 terabytes of data, including upcoming game Marvel's Wolverine and Insomniac's release slate up to the early 2030s. Meeting notes revealed plans for studio closures and budget cuts, with Insomniac discussing strategic layoffs and replacing staff with team members from other projects. Sony has called for staff cuts across its first-party studios, and leaked documents highlight the growing development costs of Insomniac's games. The leaked data sheds light on the precarious nature of triple-A game production, with experts calling it unsustainable. The industry has seen significant layoffs this year, and Sony's live service ambitions have faced setbacks. The company is reviewing its live service games and has already canceled The Last of Us multiplayer game. Sony's focus on cutting spending may result in scaled-back teams and layoffs for game developers.
Originally Published 2 years ago — by IGN
Capcom President Harushiro Tsujimoto believes that the retail price of video games is currently too low, considering the high development costs. He argues that raising unit prices is a healthy option for business, even in a slow economy. While other publishers have already increased game prices to $70 for PS5 and Xbox Series X|S versions, Capcom has continued selling its games for $60. However, it is possible that Capcom may raise the prices of their current generation games to $70 in the future.
Originally Published 2 years ago — by Kotaku
Capcom president Haruhiro Tsujimoto believes that video game prices are too low, considering the significant increase in development costs. He suggests that raising game prices would be a "healthy option" for the industry. While many AAA games have already increased their prices to $70, Capcom has continued to sell new games at $60. Tsujimoto argues that factors like a recession or low confidence in the business world should not affect game prices, as high-quality games will continue to sell. As games become more complex and costly to develop, publishers may likely increase prices in the future, potentially surpassing $70.
Originally Published 2 years ago — by Eurogamer.net
Capcom's president and chief operating officer, Haruhiro Tsujimoto, believes that game prices should be raised due to increasing development costs and the need to attract talent with higher wages. Tsujimoto made these comments at the Tokyo Game Show, where he expressed his belief that current game prices are too low compared to the rising costs of game development. While Capcom has not yet adopted the $70 industry standard price point, Tsujimoto's remarks suggest that the company may consider increasing game prices in the future.
Originally Published 2 years ago — by GamesIndustry.biz
Sony spent over $200 million each on the development of The Last of Us Part 2 and Horizon Forbidden West, according to documentation shared during the ongoing FTC vs. Microsoft hearing. The document also revealed that Call of Duty generated $800 million in revenue for Sony in 2021, and that the 2023 Call of Duty title will be the last in PlayStation's exclusive marketing contract with Activision.
Originally Published 2 years ago — by Polygon
Court documents from Sony Interactive Entertainment revealed that the development costs for Horizon Forbidden West and The Last of Us Part 2 were $212 million and $220 million respectively. These figures do not include marketing or outsourcing costs, suggesting that the actual expenses were likely higher. The rising costs of game development, with some games now exceeding $200 million, may discourage companies from taking risks and instead rely on established franchises. The disclosure came as part of Microsoft and Activision Blizzard's ongoing legal battle with the Federal Trade Commission, which is seeking to temporarily block their merger.