How do major game studios spend half a billion dollars on the development of a single game?

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This might be a dumb question. So I get that there goes a lot of work and time in creating a high quality game and with major game studios like ubisoft and fromsoft the cost can rank up to hundreds of millions of dollars, but even though it takes a lot of work to make a good game, how does it cost 500 million dollars? like where does that money go to? is there one specific part of making a game that costs a lot of money for large studios?

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Anonymous 0 Comments

Assuming an average of $73,000 a year for an employee, times 3 years of development that’s $219,000 just for one employee. the big studios have 100+ employees, so that lands us at around $21mil just in employee salaries.

Add to that $200mil that the big bois spend on marketing, and it’s not hard to see where that money goes.

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