Rockstar's Max Payne 3 Could Cost $105 Million to Develop, Requires 4 Million Sold

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MeisaMcCaffrey
Rockstar and Take-Two today finally confirmed Max Payne 3 for release in March 2012 (which means it's still a part of the current fiscal year). This is good news for Take-Two's stock, but it's also encouraging for fans anticipating GTA V next year after April. Analysts believe Max Payne 3 should do well, and according to Sterne Agee's Arvind Bhatia, it's going to have to since it may require sales of about 4 million units to break even.

"Life-to-date, the Max Payne franchise has sold through 7M units between the two prior versions -- Max Payne and Max Payne 2. We think the latest iteration, Max Payne 3, has greater potential for success than either of the two prior versions," noted Bhatia.

He then added, "Although the break-even unit level for Max Payne 3 is likely high -- probably in the 4M units range -- due to its long development time, we think the title is highly anticipated and has potential for upside surprise."

Bhatia generated a table (see below) which outlines his hypothetical profitability model for Max Payne 3 at higher unit levels.

Big image - http://media.industrygamers.com/editorial/2011/09/Untitled.jpg

http://www.industrygamers.com/news/...develop-require-4-million-sold-to-break-even/
 
How does this guy know how much the game costs? He has no idea how big the dev team is or how long actual development has been ongoing.
 
JumpingTheGun said:
Does anyone know how many units of GTAIV and RDR sold?
Around 17-18 million for GTA IV, 10 million for Red Dead Redemption.

Rockstar is laughing at a measly 4 million.
 
What a huge risk for seemingly no reason. Is the Max Payne IP really known to sell that well? I couldn't care less about the franchise and I sit on a gaming forum every day.
 
R* are like Nintendo, they blast every bit of media on the planet when it comes to their games so they sell. This game will do 5+ million at worst and we all know it, can make anything sell if you advertise enough and this is a R* game so quality is assured. Yeah the Housers might have to get a few priests again to get rid of the negative huga boogha and some wives might be pissed, nothing big though.
 
4 million is not that "impossible", heck LA Noire did that (shipped)...and costed even more to make. On top of been a brand new franchise.
 
I hope this is simply due to the project going through so many changes to date, otherwise that is insane. Any company that produces a game that requires 4 million just to break even is treading thin ice regardless of their prestige.

Although I suppose that figure does not include DLC, which would probably lower the requirement considerably.
 
Grinchy said:
What a huge risk for seemingly no reason. Is the Max Payne IP really known to sell that well? I couldn't care less about the franchise and I sit on a gaming forum every day.

I don't care about Final Fantasy or Monster Hunter and I sit on a gaming forum every day.
 
JumpingTheGun said:
Pssh. They'll do it.
I was overstating GTA IV, looking it up apparently the last known figure is over 17 mill. But yeah, 4 million isn't a huge deal for them at this point.

Edit: Fuck me, apparently it is 20 million as of March. Insane.
 
Grinchy said:
What a huge risk for seemingly no reason. Is the Max Payne IP really known to sell that well? I couldn't care less about the franchise and I sit on a gaming forum every day.
As if it matters. RDRevolver did quite well, but RDR did excellent. Those guys know quality, and marketing. The IP isn't going to hold them back.
 
Do we know anything about this game yet? Is there a trailer? It seemed to be in development he'll for so long that I just assumed it was cancelled
 
ItWasMeantToBe19 said:
Does Max Payne 3 have anything in common with those games in terms of gameplay?
It could be a farming simulator with Rockstar's name on it. Shit is going to sell.

The fact that it's an already well-loved IP with lots of guns is just a bonus.
 
Fjordson said:
It could be a farming simulator with Rockstar's name on it. Shit is going to sell.

The fact that it's an already well-loved IP with lots of guns is just a bonus.


LA Noire did so well the studio no longer exists and it was far more like GTA than Max Payne 3 is. If:


GTA 4: 18m
RDR: 10m
LA Noire: 6m


Happened, I don't see why Max Payne 3 can't sell 3m or fewer. The more the games get away from GTA, the less they sell and Max Payne 3 has little to do with GTA.
 
Calling it now. Horrible mismanagement aside, Max Payne 3 will be profitable.

That's just how Rockstar do.
 
ItWasMeantToBe19 said:
LA Noire did so well the studio no longer exists and it was far more like GTA than Max Payne 3 is. If:


GTA 4: 18m
RDR: 10m
LA Noire: 6m


Happened, I don't see why Max Payne 3 can't sell 3m or fewer. The more the games get away from GTA, the less they sell and Max Payne 3 has little to do with GTA.

Uhm, the studio no longer exists because no one wants to work with them, not because LA Noire was a failure.
 
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