REPORT- Max Payne 3 development cost $105 million; needs to sell 4M to break even

Posted By | On 08th, Sep. 2011

Rockstar announced earlier today that Max Payne 3 will be released in March 2012 for the Xbox 360, PS3 and PC. And its development is reportedly costing Rockstar a hefty $105 million. That’s… huge.

Sterne Agee’s Arvind Bhatia generated a table (pictured below) that calculates the expenditure of Max Payne 3’s development, and ultimately adds up to $105 million.

“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,” he said.

However, he also noted that Max Payne 3 will have to sell 4 million units to break even with its production cost.  “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.”

Have a look at the table below.

Clicki the image to view in full screen

Stay tuned, we’ll keep you updated.

Thanks, Industrygamers.


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