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March 31st, 2007, 19:39
Originally Posted by Moriendor View Post
One would have to know what exactly Interplay did with the distribution rights for the Fallouts but it could very well be that they sold them off for a flat fee and that they no longer participate in the earnings on a per copy basis.
Last time I checked they still get royalties for sales of Fallout 1/2.

Originally Posted by Moriendor View Post
But that doesn't even really matter in regards to the original investor because you have to consider that a game that does not turn in a profit gets written off as a loss by the company at some point. Then, after the write-off and a big, fat quarterly/annual loss, the calculation starts from scratch and -yes- it might be that a budget game becomes profitable then because all the previous negative factors (developing/publishing/distribution/marketing costs etc) have been written off. But that's after a lot of cash has gone up in smoke due to the write-off so you're only making a very theoretical profit on paper .
What does that have to do with anything? We're talking about a game being profitable from budget to 10 years later, which includes any and all costs and does not factor in your "write off". I'm sure that it'll seem even more profitable if you *do* do such a write off, but that's not what we're talking about here.
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