The point of cost to produce each copy being almost none is relevant. Because it means if they sell enough they will cover cost. Let’s assume $1 for the download. Then each copy cold is $59 revenue. Sell 10,000,000 copies and you have more than cover cost, which was supposed to be 500,000,000. Throw in some reasonably priced monetization, and it’s even easier to cover cost. I’m not saying the 10,000,000 copies sold price point is reasonable, but it does highlight any almost no cost to produce each copy matters.
One consideration which is missing in your analysis is the VAT (value added tax) which can differ based on the country. If we take Sweden as an example, the VAT is usually 25% of the price which would mean that $15 would just be taxes. In addition to this, there may also exist few additional costs like costs related to processing the transactions, commissions to third party retailers and other internal or external costs.
If they wish to cover the $500,000,000 development costs (if we assume that the announced budget is equal to the development cost), then I would guess that they would at least need to sell double the amount of copies compared to what you did suggest.
1 Like
Fair point. Though, my main argument was that there is no real cost to produce each copy and why that’s relevant. That’s still true. Your point just lowers their revenue from each copy after fees. But there still is no up front cost.
Honestly though, if they can’t sell enough copies, I’d argue they probably shouldn’t have spent that much on the game. That’s poor money management if you ask me, especially with how little content we have. But that’s besides the point I was trying to make. Which is that the cost to produce being low is relevant.
It’s definitely not necessary that up front purchases should be the only revenue stream for the game itself. They may also introduce other methods which can be used to collect revenue like advertisement partnerships (Rockstar Energy drink codes), internal/external store for the game with premium content, DLC or other items related to the game itself, compensations for being parts of a subscription service (Xbox Game Pass).
In the case with Halo Infinite, the usage of an internal store with premium content has obviously been the main strategy for covering the development costs for the game.
I never said it had to be. I just don’t think the $60 game model is totally outdated. At least, I sure hope not. If this sort of BS starts leaking into single player games I don’t know what I’d do. It’s bad enough in multiplayer.
My guess is that there doesn’t exist as good financial reasons to monetize a single player experience similar to the one seen in Halo mainly due to the community usually dedicating a much larger proportion of the playtime on multiplayer. In addition to this, it’s also much trickier to find good things to monetize.
Yeh no. You get Half the game for free, the campaign is the other half of halo infinite, 60 dollars, combine that with the while cosmetic microtransactions and it becomes much more costly, especially for an audience used to earning this kind of gear to make their spartan, along with freedom of expression through colour choices.
Do not delude yourself just because “Half” a game is free.
3 Likes
Sadly some people are like that. There some people who think the lazy fornite style system of 1 map over and over is fine but personally I find it mind-numbingly boring and yet some people will use the F2P excuse to lie and continue to excuse any predatory systems. Been playing every Halo and have had likes/dislikes and this is the 1st Halo where they progression has made it so much worse that I find myself bored within weeks of release. I think 4 v 4 is ok but I find the BTB to be a poorly balanced mess and no good maps.
3 Likes
For companies that seem to display awareness to “struggles” they sure do hurt the fan base time after time.
4 Likes
Touché my friend. Touché.
I wouldn’t mind if the game had some decent maps for BTB. Animic launch with jack all to do I’ve already seen myself going back to MCC, meh already moving on.
1 Like
It doesn’t make a difference once you factor in the cost of labor and continued online services on top of the initial cost of development.
Im with you there, if all these people that say infinite should be just about fun and not customization, then MCC should be there go to, 4 games with vastly different combat and every map ever made… should be the definition of fun lol
Ummm… Well not anymore since they got away from Activision. Once Bungie was free of that insanity contract they instantly turned the game around and removed an absolute crap ton of microtransactions. As well as the terrible original campaign of destiny 2 and the first two dlc that Activision made them make. Which were not good at all. It was only when they no longer had a binding contract and a major money hungry corporation breathing down their necks that the game actually went f2p and became a better product. I played D2 day 1. It was bad, really bad. Multiple color schemes to use on different pieces that had limited uses until you paid more money for them, which would barely cover the armor you wore. The writing was on the wall from the start. GIVE US MONEY! Which wasn’t necessarily Bungie saying that. And that’s the same feeling I’m getting from Infinite right now.
2 Likes
343 didnt make the game free out of the kindness of their hearts. They did it in order to make more money. They do not have to make currency earnable but they are absolutely being greedy with their lack of enable gear and overpriced store that halo has never had before.
5 Likes
1 no one asked for multiplayer to be free
this is an excuse for Microsoft to double dip and charge whales (sadly the halo community has a ton) an arm
and a leg. Its like they’re copying Bungie’s Destiny 2 at this point.
2free earnable in game currency?
Why not? Activision of all companies do this
3 your analogy was horrible, believe me there are better hills to die on and unfortunately you chose poorly.
3 Likes
So well written and summarized. I really cant understand how there’s not a earn currency. Now you’re just suppose to wait and earn nothing (if lv 100 is reached) x months til they drop a new season?
2 Likes
Coming back to this, are you planning to buy the misterchief AI? If so you are now $40 in from a few weeks ago launch as apposed to a $60 yearly subscription, I repeat… weeks… in… from… launch.
And if you haven’t bought the terrible AI then don’t worry, 343 will create new content to tempt you.
3 Likes
I’m not really sure what your point is. If I want to spend money on specific things, I can. But I don’t have to. I’m not forced into a continuous subscription with nothing new to show for it.
And for your information, no, I won’t be buying the Mister Chief AI.
When Halo Infinite early and officially released, the ONLY aspect of the game that was in “perfect working order” was the Store.
The multiplayer(and campaign) needed multiple tweaks, new playlists needed added, challenges needed an overhaul… but the Store and Cosmetics… PERFECT. No issues whatsoever. This should tell you all you need to know about Halo Infinite. Before the “BETA” even finished, the Store was perfected before everything else.
3 Likes