Development. Mind, marketing is usually high efficiency digital marketing these days instead of expensive TV football ad buys, so some amount of cumulative spend has went out of marketing and into development.Is that all in? I.e. including marketing etc
Like if you imagined Horizon as an $80 million game with a $40 million marketing budget it would be the same as Dead Space 2s $60 million development + $60 million marketing budget.
Digital margins also help a lot these days with cost recovery. See this thread about how The Witcher 3 saw 25% of its sales digitally, but those represented 50% of the revenue they actually saw from the game: http://m.neogaf.com/showthread.php?t=1116442