Kajetan wrote on Jul 3, 2012, 16:18:
The emotional dependancy on games is strong enough that publishers can do ANYTHING and still make billions.
Game publishers are making very little profit these days.
This story gives the breakdown:
- Ubisoft made $48m on $1.4b in revenue, or profit margin of about 3%. The profit came mostly from Wii games and digital downloads.
- EA made $76m on $4.1b in revenue, or a profit margin of about 2%.
- THQ had a loss of $276m.
- Activision Blizzard is only discussed in quarterly terms: $384m profit on $1.2b in revenue, by far the best at 25% or so. This is due mostly to massive COD sales and WoW subscriptions.
This article shows annual profits: $4.76b in revenue resulting in $1.2b in profit.
So, most publishers are really struggling these days, and once the COD and WoW fascination wears off in a couple of years, Acti-Blizz will be too.
This comment was edited on Jul 3, 2012, 17:08.
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