Post made by Jason at Sim HQ

[trashcanman]

Originally Posted by Skoshi Tiger

$8,000,000 @ $45 would need arround 178,000 copies to be sold. At the Russian price of $14.00 that would be be 570,000 copies. I know UBiSoft was asking about $80AUD for their download.

I wonder how close they are to breaking even?

I got two copies, the collectors edition and in a rush of blood the steam download (Thinking it would get to me quicker- The Collectors edition turned up first so my second copy was passed on to my brother.

Please accept my apologies for using your post Skoshi Tiger as an example of the child like innocence on this forum, and please note I am a huge fan of IL-2 and any other flight sim.

Return on Investment (ROI) is generated by profit.
A game sold @ $45 by a distributor (UBI,1C, Steam, JustFlight ... etc etc ..) does not mean that the developer and \ or investor gets all of that money.
They get a share of the profit of that revenue.
Therefore the investor(s) will break even after the profit has met their costs.

However, businesses also apply a discounted cash flow analysis to investments to reflect the relative performance of the investment.
For example, if you had $1million 7 years ago and put it into an investment account that guaranteed x% interest, what would that be worth now?

Software development is a business and that means that money talks ... imho I will be amazed if CloD generates an ROI that means that the investors will stay on board ..

I hope I am wrong.

S!

[Skoshi Tiger]

Originally Posted by trashcanman

Please accept my apologies for using your post Skoshi Tiger as an example of the child like innocence on this forum, and please note I am a huge fan of IL-2 and any other flight sim.

Return on Investment (ROI) is generated by profit.
A game sold @ $45 by a distributor (UBI,1C, Steam, JustFlight ... etc etc ..) does not mean that the developer and \ or investor gets all of that money.
They get a share of the profit of that revenue.
Therefore the investor(s) will break even after the profit has met their costs.

However, businesses also apply a discounted cash flow analysis to investments to reflect the relative performance of the investment.
For example, if you had $1million 7 years ago and put it into an investment account that guaranteed x% interest, what would that be worth now?

Software development is a business and that means that money talks ... imho I will be amazed if CloD generates an ROI that means that the investors will stay on board ..

I hope I am wrong.

S!

That's quite Ok! My statement meant to be as simplistic as possible.

If the companies don't make a profit then development stops. Simple as that.

What we have is, on many peoples systems, a product that has some outstanding features.

Unfortunately other people have some serious issues running the program. If development stopped now we ALL loose out.

Investors, developers, customers, everyone. In our niche market we cant afford too many failures or investment in the genre will disappear.

In my opinion everyone should be doing their best to show support for the developers.

Cheers!