EA is among the largest and most successful publishers in gaming today, and their second quarter results not only reflected that, but they also indicated the amount of money EA is currently investing in next-generation gaming development.
According to a press release from EA today, they are clearly preparing and developing games for the Xbox 720 and Playstation 4 now; and a clear indication of that is the amount of expenses EA is currently showing in their Research and Development (R&D) department.
Whenever a company is working on next-generation projects, their costs tend to extremely go up in the R&D department and are the dominate expense. This is currently the case with EA.
If you look at the numbers, the three month outlook reveals EA is investing a total of $314 million in Research and Development, with then next closest department being Marketing and Sales, which is costing $212 million.
If that is not a clear enough of an indication, look at the six month outlook where EA is currently investing over $604 million into R&D expenses.
Over that same time frame, the next closest department is once again Marketing and Sales; however, this department only has $357 million being invested in it at this time.
You can make whatever assumptions you want, but EA is clearly deep into next-generation development at this time, much like they said they would be doing months ago.
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