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Anyponedrawn
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« Reply #156 on: 2018-11-01 22:54:06 » |
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RED DEAD REDEMPTION II SALES UPDATE
Take-Two Interactive and Rockstar Games announced that Red Dead Redemption 2 sold through more than $725 million worth in its first three days of sales. That indicates roughly 10 million copies sold at the outset (and if you consider average game prices, 12 million units at $60 each), according to analyst Ben Schachter at Macquarie Research. And it means that game sales could hit 15 million or 20 million copies sold by the end of Christmas, he said. Based on my own take, that means the game could be profitable by the end of the year.
Red Dead Redemption 2 has sold about 70 percent as well as Grand Theft Auto V in its first three days. Schachter’s own estimate for sales in the initial quarter are at 15 million copies, a conservative number, and he said that investor expectations are at 20 million copies. If Red Dead stays at the 70 percent level, 20 million is doable by early December, Schachter said in a report. With an average rating of 97 out of 100 on review aggregator Metacritic, the prospects look good. At 20 million copies sold, overall revenue for Rockstar Games would be $860 million.
So we take revenue estimated at $860 million, and then costs of $540 million, and this game will have a profit of $320 million by December 31. Add to that revenues from Red Dead Online, which are likely to be good. The breakeven point would be about 12.5 million games sold.
Pachter estimates that Take-Two gets $100 million in revenue per quarter from GTA Online, which has been out for five years. That’s been a huge success, with the peak quarter at maybe $125 million. It will take Red Dead Online some time to ramp up its revenues. But it’s a conservative bet to say it could generate $50 million per quarter for Take-Two, or an additional $200 million a year. It will have costs as well, but not nearly as much as it took to create the game.
Into perspective, GTA V broke sales records of all forms of entertainment when released. Rockstar and experts never thought RDR II would even come close to what GTA V, and they didn't expect it too. That wasn't the goal. GTA V broke records including the Highest revenue generated by an entertainment product in 24 hours and the Fastest entertainment property to gross $1 billion. GTA V sold nearly 12 million copies in the first 24hrs and hit over $1 billion in sales in less than three days.
Full list of Grand Theft Auto V record-breaking achievements:
1. Best-selling action-adventure videogame in 24 hours
2. Best-selling videogame in 24 hours
3. Fastest entertainment property to gross $1 billion
4. Fastest videogame to gross $1 billion
5. Highest grossing videogame in 24 hours
6. Highest revenue generated by an entertainment product in 24 hours
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