I doubt that its possible to recoup losses incurred but, companies like the one producing DNF hardly depend on the sales or losses of one game to measure "Profits"
DNF will prolly never regain its investment dollars but, then again, games/prices/sales are higher now than they were in the 90's. Its conceivable that they might break even.
You also know as well as I that sales depend on hype, as much as content quality.
I doubt seriously that your average Joe is interested as much in DNF quality as its legend. Everyone is going to want bragging rights to their copy of a legend. Duke may not be the stuff of legends, but the game sure is.
As for the moot discussion over its engine use, I am willing to put that on hold, but I bet its going to be U2 not U3. There is simply no profit in delaying a total revamp yet again.


It may not be so bad for the publisher who has a portfolio of games out per year, but developers spending a couple of years on a project (typically) only to end up not breaking even often end up disbanding.



