"EA CFO Blake Jorgensen has said that the development cost per game could be five to ten per cent higher on PS4 than its current-gen systems. Today, we are living in an age where games have to sell 2 million to 5 million units (depending on the game’s overall budget). Who can forget when EA’s Labels president Frank Gibeau said Dead Space 3 needed to sell around around five million to continue to investing in an IP like Dead Space.
Today’s games struggle to break even with two to five million copies on 360 (76 million units worldwide) and PS3 (77 million units worldwide) which is a total of 153 million units worldwide. Think about that. You’re struggling to sell 3 million games to an install base of 153 million consoles sold. That means they are failing to sell their game to 2% of 360/PS3′s combined install bases. What chance is there to break even on brand new consoles (Xbox 720, PS4, Wii U) with install bases that are starting from scratch with 5-10% added to next gen development costs?", writes NotEnoughShaders.