Earlier quoted context omitted.
I don't know the specifics of Xbox and patches but I do know that in general, at least in the past, shipping a game on Playstation required thousands of hours of testing by Sony employees. They didn't take your word for it that your app worked. They ran it through a battery of manual testing. Examples, does it recover if someone turns off the power in the middle of saving a game. At that point the save game file may…
What does that have to do with submitting a simple bug fix? How can that possibly cost $40,000 except through an extreme abuse of monopoly power? A simple 30% cut with no other price gouging additional fees was a huge improvement over the status quo. That article has a developer literally saying that in the end, their percentage of the profit on the XBox 360 was a negative number.
> That article has a developer literally saying that in the end, their percentage of the profit on the XBox 360 was a negative number
Then maybe they shouldn't have shipped buggy software. Go back a few years and they'd have shipped a CD/DVD/ROM and no patching available.