How long until he gets to his point, if he even has one? I stopped when he assumed everyone watching was a fucking moron with his "games do not make 60 dollars of profit when you buy them". No shit Sherlock, there are costs and anything sold by an intermediary be it Steam or Gamestop means the studio takes in even less. If you assume your audience is that dumb I can't imagine any insightful commentary tailored to an audience that dumb.
The budget was way higher than initially thought: $320M including advertising.
The game sold 10 million copies, only 4 million at full price.
Those 4 million copies made $80M, or $20 per copy, due to the retail cut, packaging/shipping and royalty fees.
The other 6 million copies would need to make $240M or $40 per copy in order for the game to break even, which is impossible as they were sold at a discount.
Some comments disagree on how much money Naughty Dog made from digital sales (due to being a first party studio), but even in the best case scenario, the game would barely break even.
A point that he doesn't bring up is that the European market is subject to a high VAT which hurts margins even more when a game is sold at a discount.
https://www.youtube.com/watch?v=ewEDE-NhrXE
How long until he gets to his point, if he even has one? I stopped when he assumed everyone watching was a fucking moron with his "games do not make 60 dollars of profit when you buy them". No shit Sherlock, there are costs and anything sold by an intermediary be it Steam or Gamestop means the studio takes in even less. If you assume your audience is that dumb I can't imagine any insightful commentary tailored to an audience that dumb.
TLDW:
The budget was way higher than initially thought: $320M including advertising.
The game sold 10 million copies, only 4 million at full price.
Those 4 million copies made $80M, or $20 per copy, due to the retail cut, packaging/shipping and royalty fees.
The other 6 million copies would need to make $240M or $40 per copy in order for the game to break even, which is impossible as they were sold at a discount.
Some comments disagree on how much money Naughty Dog made from digital sales (due to being a first party studio), but even in the best case scenario, the game would barely break even.
A point that he doesn't bring up is that the European market is subject to a high VAT which hurts margins even more when a game is sold at a discount.