Sony’s Top-Secret PlayStation Information Got Exposed

In an unfortunate turn of events, confidential information pertaining to Sony's PlayStation business has been inadvertently disclosed. During the FTC and Microsoft hearing, Sony accidentally shared a document from Jim Ryan, the head of PlayStation, which contained redacted details about publisher profits, revenues from the Call of Duty franchise, and game development costs.

The document appears to have been marked with a black Sharpie, but when you digitize it, certain portions of the redactions become visible. Sean Hollister, a journalist from The Verge, conducted an analysis of the document, unearthing several intriguing insights. Let's get started.

Development Costs and Game Details

One of the key revelations from the document relates to the costs of developing certain games. The document disclosed that Horizon Forbidden West, a highly anticipated title, required an investment of $212 million over five years and involved a team of 300 employees.

Similarly, The Last of Us Part II, a critically acclaimed game, incurred a cost of $220 million with the involvement of approximately 200 employees. These figures provide insights into the significant financial investments required to develop high-quality and immersive gaming experiences.

Concerns Over Call of Duty Exclusivity

Sony shared the document to illustrate the potential negative impact on its revenues if Microsoft were to secure exclusivity rights for the popular Call of Duty franchise. The filing expressed concerns that Microsoft could undermine the PlayStation versions of the game or obtain exclusive rights, potentially affecting Sony's revenue stream.

Revenue Contributions from Call of Duty

The disclosed document also unveiled details regarding the revenue generated by Call of Duty for PlayStation. While it was previously known that the game was a billion-dollar franchise, the document suggests that Call of Duty contributed approximately $800 million to PlayStation's revenue in the US alone during 2021, with a global value estimated at $1.5 billion.

When considering additional revenue streams such as accessories, subscriptions, and more, the annual amount generated from Call of Duty is projected to be around $15.9 billion or possibly $13.9 billion. These figures underscore the significant financial impact of this flagship franchise on Sony's PlayStation business.

End of Marketing Deal and Future Game Releases

The inadvertently disclosed document revealed that Sony's exclusive marketing deal with Activision for Call of Duty games will conclude after the release of a title in late 2023.

Console Ownership Insights

Moreover, Sony's data highlighted that approximately half of PlayStation 5 owners also own a Nintendo Switch. This data has become significant during the ongoing FTC and Microsoft hearing as they debate whether the Nintendo Switch should be considered a competitor to Xbox and PlayStation 5.

Via