The Financials of Xbox Live
Via GameSetWatch, a post exploring the cost and payoff from an Xbox Live game. From the article: "Let's say you are a publisher or a developer that is able to fund your own development, so, a $10 game (800 Gamer Points) would net you $6.50, or 120,000 units * $6.50 per unit = $780,000. Again, if you are a starving Indie developer this sounds like an infinite amount of money. But, in the world of publishers, this is not considered a big hit."
Sell your car and raise some money from friends and make a cell phone game. Or a portal game. Or now an XBL game. Make enough money from that to make another two causal games. Next you can do maybe a budget title with a respectable publisher.
Do a good job, you have self-generated the capital to do the blockbuster.
Yeah yeah, money isn't everything in making a great game, but it sure helps a lot when you have an expansive vision that requires artists, writers, programmers, etc.
Actually, 50Mb is plenty because of ProFX (http://www.profxengine.com).
:)
Check out RoboBlitz (http://www.roboblitz.com).
It's the first Unreal Engine 3 game coming for Xbox Live Arcade.
Procedural textures are your friend.