![]() ![]() ![]() The costs of developing games for the next-generation of consoles such as Microsoft's Xbox 360 and Sony's PlayStation 3 is estimated to be roughly $10 million as compared to $3-$5 million for the Xbox, PlayStation 2 and GameCube.'The exact licensing fee varies based on the manufacturer ( Nintendo, Sony, Microsoft), as well as any deals they may give a publisher, but it can generally be anywhere from $3 to $10 per unit. Companies may invest heavily on a new IP upon which they can create sequels and/or spin-offs in the future. The cost of developing a video game may decrease over time as dev kits become cheaper, more tools are created, developers become more familiar with the platform, and manufacturing costs are reduced. Video game costs and budgets See also: Most expensive games
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