Activision has just released there second quarter results for the 3 months ending June 30 2009, surprisingly PS3 revenue is the third highest, despite Bobby Kotick's earlier comments. Contains platform-specific breakdown of revenue.
You are a fool if,even for a second,you though Activision will stop supporting PS consoles.
still they are not posting 360 numbers theres a 71 million Dollar Gap between PS3 and X360 and for EA Its a 41 million dollar gap between PS3 and X360 but in any case NO ONE IS DROPPING SUPPORT FOR PS3
Cutting the revenue stream they're getting from the PS3 install base wouldn't be a smart move on their part.
Just drop PS3 already activision
Activision was never going to drop support of the ps3...those were stupid comments to make...but it is amazing how much more revenue the 360 brought in than the ps3. The Xbox 360 brought in $231 million ...the PS3 brought in $152 million.
So Activision...what were you saying? And...PS3 fans don't buy games, right?
Kottick, better cut your losses and abandon the PS3 before it's too late!
PS3 with $152 million PS2 $44 million PSP $17 million Hey Bobby... shut your mouth
I wish they actually would drop support of the PS3, it'd be pretty funny to see how much profit they lose. There's really no must-have Activision games anyway, in my opinion. Sure, some are fun, but none i couldn't live without
This is a nice huge piece of humble pie to all of those people - and we can go look at your posts - that remarked Activision was even remotely serious in dropping PS3 support. Where are the people now that believed anything so ridiculous was possible. I love the smell of exoneration in the evening. Smells like...victory.
It sounds like Kotick is using the PS3 as an excuse to raise the price of Modern Warfare 2.
Those numbers are pretty damn meaningless. Revenue isn't relevant unless you can also see the expenses associated with each console in order to see the profit. You can't just look at raw revenue and "prove" that Activision will/will not support a console, because for all we know they're spending 500 million developing games for both Xbox and PS3 and only 1 million on DS games making DS most profitable by far. EDIT: Rereading the above comments, some of you seem to think revenue is a synonym for profit? It isn't. It is just the raw cash brought in, ignoring the cash expended. The conclusions some people are making simply can't be drawn from these numbers alone.
@ Pistolero 'but it is amazing how much more revenue the 360 brought in than the ps3. The Xbox 360 brought in $231 million ...the PS3 brought in $152 million' You really think that's amazing? It's $79 million dollars. With 7 to 8 million more 360s out there than PS3s, that's barely $10.00 per additional console, not even 1/4 the price of a standard edition game. Hardly amazing when you take a few seconds to analyze it. Anyone want to find the latest sold (yeah, I know shipped, but it's all we have to work with) numbers and divide them into the revenue generated and look at this on a per console basis?
The 360 made more that the entire Playstation trio combinded. Nice job 360, way to hold it steady.
Is this how much they made after production and distribution cost or is it simply how much they've made on PS3 game sales? 1.036bil in revenue so the PS3 is around %15 of their total. If say it cost them 100mil to make 150mill on PS3 and 100 to make that 230mil on the 360 then i could see why they'd complain. But if revenue is and after-cost word then they should never of said a thing. I have yet to buy a single activision game this gen so i couldn't care less if they left.
I don't even remotely believe activision would EVER abandon the ps3 but to be the devil's advocate, you could see them using the 360 more as a proving ground for games they aren't sure will be hits or not... make the game on 360 and if it's popular, make it multiplat kind of like the bioshock route.
Again this is revenue, not profit. Regardless, Activision will not drop PS3 support. @familyguy Revenue is the amount they brought in from sales including profit. For a retailer revenue is how much money customers left at the cash registers.
I dont care if Activision "drops" PS3 support. I'm not getting Generic Warfare or GH, or any other Activision game. It's not gonna happen though, that would be just suicidal for Activision themselves not Sony. BTW, x360 fans are really into activision games, I guess COD4/COD5 are kings in xboxland.
Activision concerning PS3 support should QFT.
the PS3 bringing in $152 million. The Wii brought in $118 million are pretty close, dangerously close. Kotick expressed concern that his company paid $500 million to Sony in royalties and other goods last year alone, but the Xbox 360(since you don't have to pay an cell guru to code for it) and Wii(since you can still make a kick a$$ games for 2 million or less if you wanted to) are cheaper to develop for and offer a better return on investment. Ok kids let play a game call math $152 million subtracted by $500 million equals $-348million in revenue !YAY! I knew you could do it! So that profit from WOW paid for PS3 development. Then I'm sure the Wii and xbox helped out since we know they are not complaining about the pay outs (royalties) to these console makers. It does seem like some one is getting over charged though. When nintendo did this crap with carts every one bailed on them. Don't believe me than look at what was said. "In the three months ending June 30 2009, MMORPGs were the highest earning platform bringing in $324 million, followed by the Xbox 360 bringing in $231 million, followed by the PS3 bringing in $152 million. The Wii brought in $118 million, DS $48 million, PS2 $44 million, PC & Other $41 million, with PSP bringing up the rear with $17 million of revenue." Yeah the PS3 is still going to get dropped if you look at these numbers and hell I kind understand why... $500 million is a lot to pay for around $150 million worth of profit LOL. Hell was this a loan from SONY or some thing LOL.
@scissor - You are incredibly stupid, Microsoft and Nintendo charge royalties for their games aswell. And it is actually estimated to be about the same on all platforms (~$10 per $60 game). Also royalty fees are charged on a per unit sold basis, so no matter what, a publisher will never make a loss on their sales. Seriously can't wait until these summer holidays are over and all these kids go back to school. Hopefully they can make them from retards into people of normal intellect.
So gaffyh tell me why is activision not dropping the Wii then? Why are they not threaten nintendo? The Wii sold way less than the PS3 right? Why is activision not complaining about paying them $500 million? I mean if the nintendo systems combined made less than $500 million wouldn't activision complain and ask for a price drop or some thing? I wonder how much you know about these deals? You have to buy your disk in bulk you know and if those games do not sell then you have to still pay for that bulk price. I'm not activision yet I do know that if you pay 500 and only get 213 out of all the SONY platforms that you might of gotten cheated LOL just maybe. Maybe your are frustrated because you expected every one to not put two and two together. gaffyh every one knows that blue rays cost more to press, yet it work in your favor some times but some times it does not. All I know is activisions just admitted that they are not making a profit from SONy console even though money is made.... what can you not understand about that? Oh I'm stupid because you can not prove it wrong huh? You sound so frustrated man why? Do you work for sony? Opps sorry, I don't yet I'll be dame it I'm going to make such a poor bet on this market and loose that much money. See what blind faith gets you... yeah PS3 sale will get better! NEXT YEAR!
360: $231ml PS3: $152ml Thats nearly a 100ml difference, if you take into account the large amount of 360 piracy and the fact that most of the 360 sales wont be from non-US regions (no exchange rate boost) thats a hell of a big difference. You can kinda see where Activision is coming from when they said they would stop supporting the PS3 especially if you compare it to EA.
PS3+PS2+PSP=Enough profit for activision (more than 200 million) you guys take the PC as a MS "platform" dont you? so why not count the PS2 and PSP? if i were sony and a company like activision stops support for my biggest and more important console i might aswell say F you and wont let them develope for my other 2 consoles as well... so watch your words activision! these activision and EA numbers just can mean one thing... other than the COD games PS3 owners prefer EA games in general..
I can't see where Activision is coming from when they say they will drop support for the PS3 simply because I can't see them wanting to throw away $150 mil and stop being a troll, $79 mil is not "nearly $100 mil", if you're going to round, you might as well say it's nearly $80 mil as a whole $20 million is no small number...
Yeah, and there's OVER a 100 million difference between 360 and MMORPG revenues. Maybe they should just supporting everything but MMOs? Or, perhaps more than 100 million revenue is very good. It would make no sense to abandon all that.
Omega4: Math was not yor strong side eh? ;-) It's not nearly a 100mill difference... it's a 79mill difference. 21 million from beeing nearly anything like 100mill...
It's a $79 million difference. Which is not that big a gap.
So even the ENTIRE PS family combined doesnt compete with just the 360, that makes it look even worst. You guys say they will be throwing $150ml away but when you consider the expensive development costs that the PS3 brings they may actually be better off, but who knows eh...I wasnt the one who made the statement they did and they obviously know more about it.
"You can kind of see where they are coming from..." Actually no, I don't see where they are coming from. The PS3 platform brought tremendous profits, and to drop the PS3 would be suicide. Just noticed from Omega's profile: "Ignored by: 145 users" That's 100 more than I've seen with anyone else. Maybe Activision should stop supporting you.
Don't forget the cost for development and fees vs the less expensive port to PS3 costs. Funny how PS3 top sales is a victory and even the ones showing PS3 losing are twisted to victories.
jleack, make that 146 now.. I'm tired of reading his useless spinning, he spins EVERYTHING, even when spinning is IMPOSSIBLE. Omega4 you are without a doubt a waste of space on this planet.
What did Omega do to you personally? You need to step away from the internet a bit.
this is not $231 vs $152! it's something a million times more! although revenue is not the same as profit but the 360 is indeed earning a lot more for activision than the PS3 did! if developments cost around $100mil, then there will be around $50mil of profit which is still a lot! but just by that and they are going to drop support? up to them but I couldn't care less! activision sucks anyway!
Omega was just in the EA revenue article trying to spin how revenue was meaningless because PS3 came out on top, now the spin has changed directions like the toilets in Australia. You're so sad! O/T: It is all the exclusive DLC!!!!
will just throw 153 million and growing away.
Hey great. More financial reports. I'm pretty sure people on here know exactly how these things work, right? :/
The man of the moment Omega4 does.. and manages to do so without making himself look like an idiot /s
Agreed. even if they think they are fine without Sony they are not.
The PS3 is bringing in $152 million. The Wii brought in $118 million are pretty close, dangerously close. The budget for making wii games is around 2-20 million HD games are a cool 20 million. Kotick expressed concern that his company paid $500 million to Sony in royalties and other goods last year alone, but the Xbox 360(since you don't have to pay an cell guru to code for it) and Wii(since you can still make a kick a$$ games for 2 million or less if you wanted to) are cheaper to develop for and offer a better return on investment. Ok kids let play a game call math $152 million subtracted by $500 million equals $-348million in revenue !YAY! I knew you could do it! So that profit from WOW paid for PS3 development. Then I'm sure the Wii and xbox helped out since we know they are not complaining about the pay outs (royalties) to these console makers. It does seem like some one is getting over charged though. When nintendo did this crap with carts every one bailed on them. Don't believe me than look at what was said. "In the three months ending June 30 2009, MMORPGs were the highest earning platform bringing in $324 million, followed by the Xbox 360 bringing in $231 million, followed by the PS3 bringing in $152 million. The Wii brought in $118 million, DS $48 million, PS2 $44 million, PC & Other $41 million, with PSP bringing up the rear with $17 million of revenue." Yeah the PS3 is still going to get dropped if you look at these numbers and hell I kind understand why... $500 million is a lot to pay for around $150 million worth of profit LOL. Hell was this a loan from SONY or some thing LOL. Maybe it was activision mistake some where but what is funny is it seems like SONy got a loan from activision LOL You are not suppose to get a return on your royalty pay out that is in the negative that is just crazy. It really was true that the wii is help to pay for PS3 games, along with other games like WOW. WOW! Man this is getting ugly I've never seen 3rd parties prop another company up as much as these 3rd parties are doing with SONY. Some times I think it is fueled out of MS hate but no hate is worth -300 million LOL. I'm sure that money paid went right into sony 1st party games too LOL.
Revenue =/= profit... think about that for a second. ( i know some of you know this but i cant help but thinking that alot of people are using revenue and profit interchangeably. please dont, they are VERY different things ...)
Revenue is the total income, but profit also takes the costs into account. None of us can know the exact development costs on the consoles (unless we're working in a publisher), but my understanding of previous Activision comment was they were unhappy about relative profit margins in PS3, and hoping to make enough noise to bring the prices down.
Correct and the truth is that they haven't broken down the numbers. Without knowing what their overhead was how can you even begin to understand their profitablility? I'll say it again......wtf does being a gamer have to do with sales numbers. You guys don't own Activision stock do you? Activisions problem is that they remember all too well what a 200$ PS2 did for their profits.
i do own activision stock :S also i own THQ stock... i thought i was being smart buying in right before earnings with the whole UFC + RED FACTION ... and i was sorta right, they did make a profit compared to the previous few Qs where they lost money... im going long on both ACTV and THQ cuzzzz i think THQ might be picked up , and ACTV has yet to release a BLIZ game other than WOW, but will see a nice boost with SC2 and D3 plus expansions? *Edit for those of you who dont follow gaming stocks closely, ACTV has been stagnant for awhile , a few gains and drops here and there. THQ on the other hand dropped ~20% after earnings.
Profit is central. My theory is Activision is putting pressure on sony to lower console prices so that more people buy ps3s therefore more people buy Activision software therefore more profit to offset the cost of developing for an architecture that's a lot different than pc and 360. They see potential in ps3 and want to maximize it. They wouldn't be complaining about the ps3 price if they didn't think that it was successful and a potential source of money. Although it might not ever match 360 profits, its certainly a sizable hunk of change that the sony family represents (particularly if you combine all three platforms).
Do the shareholders know revenue =/= profit. If revenue meant nothing the shareholders would say "STFU and get to the profits". It was important enough to mention!
There are too many gamers that don't understand the importance of sales. It seems that many think games are made for free. They are called developers. But they are companies. If they don't get the sales they need they go out of business. Then you don't get anymore games. When it happens to bad companies, it's good. But sometimes good games don't get bought and bad companies disappear. Stop thinking the sales are unimportant if you want the games to keep coming. @Iceman You're right. They seem to believe they are the same thing. Activision was making a valid point when they complained. I'm sure they weren't going to drop PS3 support on all titles, but it was a shot across Sony's bow. Drop the price or give us a financial incentive. Sony has no choice but to give them what they want. Activision could cancel low volume sellers on the PS3 and give short-term exclusivity to the 360. They would still get the sales from the PS3 eventually, but it would hurt Sony if they were to say, delay Modern Warfare until January on the PS3. Christmas sales on the PS3 would take a hit while the 360 would pick up at least some of those sales. It's just a part of business and seemingly just the type of thing Activision would pull considering how greedy they have gotten lately.
Of course sales are important to games. I would agrgue that they should not be so important to gamers (who don't have stock like iceman). What do sales have to do with having fun on your favorite game? If we should be concerned then what can be done? I think you chose whether or not to support a title and leave your concern with sales at the door. Sales do not equal quality and IMO a game selling millions only means millions of people bought a copy. Gamers should stop using sales as a way to judge the quality of a game.
Forgetting the 360 v ps3 rubbish people are obsessed with, the Ps3 brought in more revenue than the wii and yet, Activision said nothing about dropping support to the wii and its massive install base; more than twice that of the PS3. @below: that is correct but for all we the ps3 might have brought in more profit than the 360 and that guy was just being an ass when he said about cutting support on ps3.
but did it bring in more profit?Revenue is not the same as profit and without a complete breakdown of their financial report, we will not know. EDIT @ Stewgart:They made around 200 million in revenue the quarter before this on the PS3 but we never knew that Activision payed Sony $500 million in royalties if not for the fact that Activisions CEO said it.
for coding a full game on the ps3 is probably much larger and more hectic for developers than coding a game for the wii .... they might be losing money in that sense i suppose ... like Green said do they make the same profit / returns for the amount spent ?
Even if the costs are almost as high as the revenue, nobody, not you, not me, not a huge company would let 1 million dollars in PURE profit lay on the table for not porting it to another platform. I highly doubt they make "just" 1 million of pure profit on the PS3 but even if it's just a mil, it's still a black number on their bank account. The threat was nothing more than hot air blown into the sky. PS: Royalty fees are rumoured to be lower when it comes to Sony, other companies make more money off the PS3, sometimes even by selling less software, one explanation would be the 2 strong european currencies, the pound and the euro, or, you guessed it, Sony isn't charging as much for royalties as other companies do. Everything is possible but fact remains, companies make good money on the PS3, don't believe the blogs and the idiots to whom Web2.0 has given the opportunity to be heard.
Also the royalties on a game with more than one disk is insane on the 360; Don't know if they have any games like that, but just mentioning it!
True, but also bear in mind the larger costs, whatever they are, are probably only in terms of hiring an extra programmer or two (and may well even then be partly offset elsewhere - eg. suggested lower royalty rates etc). Games on the PS3 have a huge overlap of assets and staff - writers, artists, designers, sound guys, even advertising etc - with those on the 360 for third parties (most of these games being multiplatform). I think we went through all this back when Activision made first their ridiculous statements.
...just maybe, even a little bit...that he doesn't like the PS3? It is fathomable...
Think about that.
when you exceeds your expectation. it is
Damn, Bots aren't even making sense anymore.
I work in the Building Industry here in the States and I KNOW that from personal experience. But looking from the outside in, I see Sony working... Activision threatening to pull support from the Playstation 3. An obvious price drop for the Wii and potentially a new Wii HD Console. Companies calling for a price drop. Splinter Cell gets delayed. History has shown that Microsoft would "win" Christmas 2009 (saleswise) without movement from Sony, although Sony has a strong lineup. But incoming... Christmas 2010... Project Natal and HALO:REACH. Possibly the two biggest releases in gaming next year. Sony realizes the time is NOW. It has to be. Next year will be tough. Bring on the Slim, the price drop, GT5, or whatever. The stockholders probably told them that it's now or never. That's why this all appears to be rushed somehow. After Microsoft's E3 showing, I'm sure there was a VOLATILE meeting at Sony... Microsoft gearing up for Christmas 2010.
LOL M$ could make HALO:TURD and it would sell very well to the bots. Anything Halo is going to sell well considering they have nothing else. Natal is just plain strange and useless IMO.
because it won't bring in new console sales, Halo wad was blown in 2007. Natal will be bigger cause it is an attempt to bring in the soccer mom, toddler, and geriatric crowd.
I really hope Bobby Kotick has a foot fetish, because he just put his own foot into his mouth.
http://www.1up.com/boards/p... 1up site is acting retarded so he is it on the HHG forum: http://www.hiphopgamershow.... if you dont believe me, then go to my twitter and look at the time...the call start at 4:30 EST and ended at 5:30 EST...very interesting stuff www.twitter.com/herc08 EDIT: i dont understnad how i got a disagree... EDIT: @10.2 i know nothing about SC2 or WoW, i dont even do pc gaming, but i am just relating to what the man said..maybe he made a mistake on his part, but thats actually what he said, i made sure of it
are you sure about the SC2 BETA not coming out this year? Considering it was being played weeks ago I don't see why they would delay their beta for 4 more months!
Well looks like PS3 is doomed, 360 is God, confirmed by Omega4 you heard it here first.
Activision is a cashcow, they want PS3 price drop for even more revenue. Simple.
Come on Activision, drop the PS3. I'd like to see just how much less profit you'll pull in every year.