News Article

How Much Money Is Being Spent on PS4 Shooter Destiny?

Posted by Sammy Barker

So much it's scary

Bungie better pray to the gaming gods that first-person shooter Destiny generates a more favourable reaction than its recent seven minute gameplay trailer, because publisher Activision is investing – wait for this – $500 million into ensuring that the property is a success. That’s more money than company gaffer Bobby Kotick keeps under his bed.

The abovementioned executive revealed the frightening figure at the swanky Milken conference in Los Angeles last week, no doubt fanning himself with dollar bills as he confirmed the sweat-inducing sum. That number, according to the firm, doesn’t just account for development, but also marketing, packaging, infrastructure support, royalties, and more.

The title is actually being produced as part of a decade long deal between the Halo creator and the Call of Duty company, which will span multiple games and add-on packs. It begs the question: what happens if the inaugural entry disappoints? With money like that on the table, we don’t think that failure is an option. Still, we’re sure that there are a few damp foreheads around the firm right now.

[via reuters.com, eurogamer.net]

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User Comments (20)

MadchesterManc

#2

MadchesterManc said:

@get2sammyb If what you say is true in the article about Bungie having a 10 year deal with Activision for the IP, maybe that amount is being invested for the long term future of the series? I can't see that amount being for just a singular game

Bad-MuthaAdebisi

#3

Bad-MuthaAdebisi said:

My excitement for the game has waned a little lately but even so I'll be picking this up rather then CoD or Battlefield. Probably early on too, the pre order bonus doesn't interest me.

get2sammybAdmin

#4

get2sammyb said:

@MadchesterManc That's what I thought inititally, but the original article from Reuters is pretty clear it's just the one game, and the clarification from Activision throws in stuff like marketing costs but doesn't mention subseqent entries. I'm sure part of the cost is being invested into "laying foundations" so to speak, but it sounds like that figure is for the one game to me. Which is mental...

Sanquine

#5

Sanquine said:

@get2sammyb 500 million? What's wrong with them? This is bioshock infinite all over again. That game also didn't break even and see what happend to them. Game has less hype then titanfall which also isn't selling as well as many thought.

Demi_God

#6

Demi_God said:

I doubt it's 500 million even if it came from the higher ups at Activision. If they said this, chances are they are using that as a publicity stunt to possibly get more people to pay attention to the game and/or to purchase it anyway. Not even past MMO's broke $100 million for launching, so I think Activion or where ever else this information came from is just plain bunk.

rjejr

#7

rjejr said:

@Sanquine - "Game has less hype then titanfall"

But it is releasing on more systems than Ttanfall, Sammy's "PS4 shooter" title aside it is on PS4, and PS3, and X1 and 360. All on the same date.

$500mil is still insane for a game - and like @Demi_God said I'm sure a gross exaggeration for hyperbole's sake - but Halo sold really well - over $3Bil total for all the games - relying mostly on Xbox sales, so add in all the PS systems in the world and they do have a chance to sell some copies and make some money in the long run.

"Microsoft said that "Halo 4" puts the franchises' total sales at north of $3.38 billion."
http://www.cnbc.com/id/49765686

Guess $500mil isn't that much after all if the engine can be used and only slightly modified for several years and all the story background mythos has already been created.

Edit: b/c geez I left out the hype that I quoted. Destiny will get hyped up the wazoo after E3. All 4 systems that Destiny is releasing on have Watch_Dogs releasing May 27, so that's what's taking up all the ads right now. And Mario Kart 8 has posters all over Gamestop and some space in Target. Destiny is Sept 9th, before Batman and all the rest for the holidays, we will be buried in ads all summer long.

Demi_God

#8

Demi_God said:

@rjejr thinking about it a little more, that $500 million could easily be for advertisements on the most watched stations (I doubt it though), including adverts during sports events which are usually expensive.

I think people may look at that price as development costs, but I'm sure the biggest cost will be for advertising which could make up most of that cost. So marketing could be true. hmmmmmm I just have a hard time thinking that they are actually spending $500 million total for this. Something just doesn't make sense here.

rjejr

#9

rjejr said:

@Demi_God - "Something just doesn't make sense here."

What doens't make sense to me is $500,000,000 being spent on a game rather than food or shelter for the needy, but I know that's not how reality works. In the land of entertainment that amount wouldn't cover the salary of 2 baseball players, A-Rod who isn't even playing this year ($275m) and Cano up in Seattle so nobody cares ($240m). Both 10 year deals, but this could last 10 years, Halo was roughly 2001 to 2012.

James Cameron says his next 3 Avatar sequels will cost under $1Bil, w/ a B.

http://www.foxnews.com/entertainment/2013/12/15/james-cameron-to-make-3-avator-sequels-in-new-zealand/

Munkyknuts

#10

Munkyknuts said:

That's a lot of money...blockbuster movie money for a game that's wading into the most bloated and over stuffed genre...I don't see anything in it that makes it really stand out from the competition really. Good luck to them.

kakeroat

#11

kakeroat said:

If it has strong single player campaign with no half baked ending, I will buy it.

Demi_God

#12

Demi_God said:

@rjejr yea but I never look at it like that. Just because people have a ton of money doesn't mean that it should automatically go to the needy. Enjoy the money you make, if you enjoy giving it away to people that need help, then so be it. It really doesn't bother me at all how they spend the money. The only thing is that it doesn't make any sense why activision would fund $500 million. Unless this game is much bigger then I could even imagin and if that's the case O_O I can't wait.

ShogunRokAdmin

#13

ShogunRok said:

Destiny will sell - it'll sell by the absolute bucket load. Will it sell enough to make a decent profit? Hmmm...

eLarkos

#14

eLarkos said:

I didn't know the 7min gameplay clip received bad responses. I thought it looked great.

Jaz007

#15

Jaz007 said:

@Sanquine The 2M budget was false, and I can't find anything about the game being a failure. Irritational games also shut down because it's head wanted to do something else. They reassigned members of the team, and set up job interviews with other companys for other members of the team. Their closure had nothing to do with a layoff.

shingi_70

#16

shingi_70 said:

This game is going to flop hard as hell. Titanfal sold decently and had massive hype, while we;ve known about this game much longer and there is barley any hype. It seems like Borderlands via way of Halo with just a dash of boring out int o it.

Demi_God

#19

Demi_God said:

I don't think the game will flop at all. That is just wishful thinking, quite odd, but wishful thinking nonetheless.

Gamer83

#20

Gamer83 said:

No middle ground any more, it's either an indie game or something with an insane budget. I miss the 'B' players like Silent Hill used to be, Twisted Metal, 2D Castlevania...
As far as this game itself, I'm looking forward to it because it's Bungie and as we get closer to release there's no question Activision will kick the advertising and hype train into high gear, so the game should be a success. How much of one will be interesting, usually there's a shift each gen as to what's the next big thing but barring an awesome E3 showing, CoD may still have a strangle hold on FPS. Either way, Activision wins.

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