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Destiny budget could hit $500 million says Kotick, “the stakes for us are getting bigger”

Tuesday, 6th May 2014 08:30 GMT By Dave Cook

Destiny’s budget is on course to smash $500 million, according to Activision CEO Bobby Kotick, while analysts are apparently theorising that the game will need to sell a significant amount of units to break even.

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It follows Bungie’s latest Destiny dev diary, which covers loot, armour and much more.

Now Reuters reports that at the Milken conference in Los Angeles last week, Kotick revealed the ballpark figure.

“If you’re making a $500 million bet you can’t take that chance with someone else’s IP,” he stated. “The stakes for us are getting bigger.”

Analyst have since said that the figure could set a record for the most spent on making a single game. Reuters was told that to break even Bungie and Activision would need to sell between 15 million to 16 million units.

Sterne Agee analyst Arvind Bhatia told the site that he expected Destiny to shift 8 million units and added, “It’s a head scratcher. For brand new IP, it’s tough but it could post a big surprise.”

By comparison, GTA 5′s budget came in at around $250 million and as of February it has sold some 32.5 million units.

Can it be done? Come the September 9 launch we’ll know.

Via MP1st.

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27 Comments

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  1. mistermogul

    This game must be massive if it’s cost twice the amount of GTA 5. Either than or they haven’t budgeted very well!

    #1 3 months ago
  2. Dark

    It’s going to bomb so hard.

    #2 3 months ago
  3. Xbone

    This many money and they produced this? Oh boy, it will fail bigtime.

    #3 3 months ago
  4. Llewelyn_MT

    This has to include a marketing bugdet. The scope of this game is nowhere near GTA V. You don’t waste that much money on developement alone.

    #4 3 months ago
  5. dazedonthemoon

    Yeah thats gotta be a huge chunk of marketing. Tv spots everywhere. Would be cool if a lot of that is developement and the worlds are as big as they promised.

    #5 3 months ago
  6. undermyrules

    i sense fail big fail here

    #6 3 months ago
  7. Erthazus

    GTAV scope was not that big either. It’s an open world game but not a sandbox. GTAV is a very linear game with tons of actors and music license and of course level designers and art team.

    Destiny will have a huge server thing going on with raids and etc. but so far Bungie show nothing really at all. they promised RAIDS and other MMO stuff but no one saw it. No one even saw Player’s “Gear” system. All they are saying that other players will be jealous if they will see another 23 level with full set. Jesus.

    #7 3 months ago
  8. MrSec84

    This game could easily sell many times that, it’s one of the most anticipated games coming this year, basically a shooter with a bunch of huge, open world maps, set across our solar system created by the studio that created Halo & it’s a multiplat.

    Imagine how well Halo would have sold if it had launched on multiple platforms.
    If every version of that game had been on PS3, 360 & PC it could easily have sold 3X the numbers it did on 360 alone, only this game’s even larger in scope of the areas you get to play in, that will all be constantly updated with new content.

    IMO this selling 10 million units on each platform isn’t unlikely, it’s going to be one of the biggest system sellers this year for 8th gen consoles, I’m not shocked the developers were happy to lay out that much money developing the game, it’s gonna be a huge cash cow for them.

    #8 3 months ago
  9. YoungZer0

    I bet Bungie didn’t even get half of that money.

    #9 3 months ago
  10. Erthazus

    @MrSec84 “The studio that created Halo.”

    And? They created mediocre Console shooter. We need to be proud of them?

    #10 3 months ago
  11. RickGames

    holy gaming god!
    Is this with the 10 year plan included? because then it can be profitable. i mean if they get 15 dollars out of every game sold. they need to sell at least the same amount as GTA5 has during the 10 year lifespam. with 160 million ps3 and xbox sold and 12 million next gen… hmm.. maybe
    but thats just me not knowing anything about the profits and a quick calculation hehe.

    #11 3 months ago
  12. bradk825

    I hope it does awesome. Seeing a AAA studio bet big on a new IP is refreshing, and I want to see it succeed. I also want it to be fun, since I’m buying it.

    #12 3 months ago
  13. bradk825

    @Erthazus They contributed to console FPS becoming mainstream, the series has been done to death, but that doesn’t change that when they were a much smaller studio they made gaming history. Being the creator of Halo certainly is something to be proud of.

    #13 3 months ago
  14. undermyrules

    @bradk825 Halo was breakthrough for console shooters not for gaming itsself…doom is a true breakthrough in fps genre…

    #14 3 months ago
  15. MrSec84

    @Erthazus Whether something’s mediocre is entirely subjective.

    My point was that Halo is a huge seller, created by Bungie, I doubt many of the repeated buyers of Halo games consider the series a mediocre one.

    #15 3 months ago
  16. Llewelyn_MT

    @MrSec84

    I doubt this game has half the hype of GTA V. While it may be one of the most anticipated games of 2014, GTA was the most anticipated game of the decade (2010 to date). Destiny is just a new IP from a studio that has some previous success, but whose name is not that big outside the Xbox community. Certainly not Rockstar-big.

    When you say that we will be constantly updated with new content I see a plethora of DLC. That is a no-buy for me. I only did it once with a shooter (Battlefield 3) and I don’t bother since. The fragmentation of the community is unbearable. I won’t force my gaming buddies to buy new content just so that they can play with me or force myself to get it if they bought it.

    10 million copies on each platform? You gotta be kidding me. If they sell 20 million total it will be a remarkable success.

    You care to elaborate how a cross-gen multi-platform game can be a system seller?

    You finish with the best definition of a game nobody should buy:
    “I’m not shocked the developers were happy to lay out that much money developing the game, it’s gonna be a huge cash cow for them.”

    #16 3 months ago
  17. El_MUERkO

    Watching the videos I cannot see where the money has been spent, animation and gameplay from the Xbox 1 era with ‘ok’ graphics.

    #17 3 months ago
  18. ManuOtaku

    Now i have big concerns for bungie, i hope if this doesnt sell the targeted goal, it would not lead them to their closure. I love bungie, besides nintendo my favorite developer, i do love halo and the great experience it was playing combat evolved on 2000. One of my favorite moments gaming wise.
    But Having said that, being a multiplatform game, it can reach that goal, they made good games, gamers know this, and they will give this game a chance. Good luck bungie and success.

    #18 3 months ago
  19. Erthazus

    @MrSec84 Same goes to CoD crowd. Not sure that most of them thinks that the games are bad. Same goes to Mc Donalds junkies.
    At it’s core Halo was mediocre and it’s sales are a representation of a good PR from Microsoft + as a guy above said “They contributed to console FPS becoming mainstream” which is another reason of it’s hot selling.

    If you ask me about how I’m feeling about Bungie’s new game Destiny. I will tell you that I want it to succeed and I hope it’s going to be great because I always wanted a high budget tripple AAA MMOFPS/RPG hybrid with raids aka World of warcraft with Guns. I hope they will make a great game that I’m going to enjoy all this gen.

    oh and would be nice to have it on the PC too. Cheers.

    #19 3 months ago
  20. jmg24bad

    Well honestly… With Activision as their publisher. They might end up selling 32 million lol

    #20 3 months ago
  21. ij 44

    People bought Halo (originally) because it was a half-decent shooter, and basically the only good game on the original xbox at that time – and consequently people became “invested” in it to justify their own console purchase (like people do..)

    It wasn’t that good. Not $500 million good. Will be very suprised it Activision don’t get massively burnt on this.

    Haven’t seen anything in the Bungie releases except them selling something that isn’t Halo to a market (xbox Halo people) they haven’t got anymore. Ouch!

    #21 3 months ago
  22. MrSec84

    @Llewelyn_MT

    [QUOTE] I doubt this game has half the hype of GTA V. While it may be one of the most anticipated games of 2014, GTA was the most anticipated game of the decade (2010 to date). Destiny is just a new IP from a studio that has some previous success, but whose name is not that big outside the Xbox community. Certainly not Rockstar-big.” [/QUOTE]

    Halo as a franchise has sold incredibly well, very few exclusive games on any platform sold as well, which was the whole point of my comment.
    The game sells, Destiny has greater scope than Halo, so I extrapolated from there.
    What exactly is the point of stating the obvious bit in your comment about this being Bungie’s 1st 3rd party release since leaving Microsoft’s ownership?
    The point here is that Bungie is capable of making games that appeal to a large audience.

    [QUOTE]When you say that we will be constantly updated with new content I see a plethora of DLC. That is a no-buy for me. I only did it once with a shooter (Battlefield 3) and I don’t bother since. The fragmentation of the community is unbearable. I won’t force my gaming buddies to buy new content just so that they can play with me or force myself to get it if they bought it.[/QUOTE]

    According to IGN’s wiki for the game this is the case:
    Destiny will have four major DLC expansions spanning over multiple games, releasing in the Autumn of 2014, 2016, 2018 and 2020.

    [QUOTE]10 million copies on each platform? You gotta be kidding me. If they sell 20 million total it will be a remarkable success.[/QUOTE]

    It’s what I think is likely, my opinion, something I think is justifiably possible based on how well past games from Bungie have sold & my opinion/hype for the franchise.

    [QUOTE]You care to elaborate how a cross-gen multi-platform game can be a system seller?[/QUOTE]

    It could sell a decent number of consoles, though I did single out the “8th gen” platforms mainly for that.
    System seller’s kinda self explanatory.

    [QUOTE]You finish with the best definition of a game nobody should buy:
    “I’m not shocked the developers were happy to lay out that much money developing the game, it’s gonna be a huge cash cow for them.”[/QUOTE]

    That wasn’t my definition for the game, the whole open world, multi world sci-fi shooter was my definition of the game.
    Being a cash cow, is kinda a belief of what the game means to Activision & Bungie.

    Nice way to try and undermine someone’s personal opinion.
    I have to remind you that anything could happen, I never said this was a certainty, nor did I claim to know the future, so we could both be right, hell an asteroid could hit the planet & wipe out the human race & the game will never release, so no one would know how well or badly it would do.

    #22 3 months ago
  23. zombizmo

    Sixteen million over 10 years is more than possible. The job they hired those 500 employees to work 24/7 will be to keep those day one Bungie fans interested and the rest of them will fall into place. I think as popular as it may be the drop off in population will probably be pretty huge, since the casual gamer doesn’t typically stick around for very long. Which makes me think there has to be some class of armor or upgrade material that is purchasable. A game this big and expensive doesn’t seem like it can’t live without it.

    #23 3 months ago
  24. fearmonkey

    If they need to sell that many copies then you would think it would be on PC the first day!
    I suspect that it will sell like hotcakes and they don’t have reason to be too worried though. It’s one of the most pre-ordered games on consoles and if its good, word of mouth is going to have it continue to gain sales.

    Unless it gets average or below average reviews, I think this game will do quite well.

    Erth calls halo an average shooter, but at the time no one had made a console shooter that was any good. Halo changed all that, and the original Halo was amazing, when you exited the ship and was on ring, that was amazing in it’s time.

    #24 3 months ago
  25. jmg24bad

    Fearmonkey that’s where your wrong lol. Rockstar said fuck Pc. And made 32 million sales on two consoles with a 200 million budget (including marketing. Etc…). Activision is going to market the fuck out of this game

    #25 3 months ago
  26. Vice

    Well, they’d better announce it for PC soon then, if they want their money back…

    #26 3 months ago
  27. Gheritt White

    Destiny will obviously deliver and deliver big time. The game has both broad and deep appeal and has enormous scope. I look forward to seeing egg on so many naysayers faces here – I can’t seriously believe you guys think you’re better forecasters than the guys in-house at Acti-Blizz and Bungie, FFS.

    As for Halo being mediocre, only somebody who wasn’t around at the time would say that (i.e. Erthazus, who is only like 24 IIRC).

    Halo introduced the following to the FPS genre:
    1. Motion tracking on the HUD
    2. Regenerating shields
    3. Limited weapon selection (only 2 can be carried at any one time)
    4. Grenades being integrated into combat as always-available secondary equipment
    5. Seamless integration of vehicular combat
    6. Friendly AI capable of driving a vehicle, allowing the player to mount a turret or ride shotgun
    7. Open-world environments allowing you to complete objectives in a non-linear order

    It’s also worth remembering that Cortana’s V/O and the ultra-responsive enemy AI were also considered big fucking deal at the time.

    If you don’t appreciate just how much Halo contributed to the FPS genre and the positive impact it had, you simply don’; know your videogames history. Fact.

    #27 3 months ago