Analysts Clarify Math: 20% of Games are Profitable

Nov 24, 2008 5:50pm CST tags: Analyst
Following claims by Electronic Entertainment Design and Research (EEDAR) president Geoffrey Zatkin that just 4% of videogames make a profit, an EEDAR spokesperson has called the statement a misquote, saying that the actual figure is closer to 20% for released titles.

Said the EEDAR representative to Edge: "What Geoffrey said was that only 20 percent of games that start production will end up with a finished product. And of that percentage of finished games, 20 percent will make a profit."

Which makes 4%, for those mathematicians keeping score.

The original quote came out of a Forbes article on EEDAR, a company that compiles data on past titles that it sells to publishers and developers.

EEDAR hopes its database of historical game performance will "help remove the burden for publishers and developers from having to justify every feature in their title," by "identifying early in the development cycle the correct feature combinations most likely to meet consumer expectations."

        

Related Stories