Could someone provide a link? Why would it cost so much?
I have not seen the original quote, but I imagine Johan was talking about economies of scale. I read somewhere an industry insider saying that most games failed to break even (sell enough copies to offset the development costs), and that it was the small fraction of games making a huge profit that kept most companies afloat when the vast majority did so-so at best or were disasters at worst. In this sort of business model, a company will of course try new things - they have to if they want to get a big hit! Naturally, though, if a game lost them money, they won't try that same thing again. EU2 sold a lot of copies, so EU3 was made. HOI2 sold a lot of copies, so HOI3 is being made. Victoria...didn't sell a lot.
I suspect Johan was looking at the cost of developing Victoria 1 versus how many copies it sold, and thinking that Victoria 2 would sell no more copies than Victoria 1, perhaps fewer (Victoria did turn a lot of players off). In order to justify the millions of dollars in development it might cost, he did a quick calculation and figured out that each copy sold would need to provide several hundred dollars in profit. In other words, a losing proposition for the company unless demand for Victoria 2 is significantly higher than demand for Victoria 1 was...or unless development is significantly cheaper. That's most likely why
Revolutions was released: the development costs of an expansion are trivial compared to the costs of making a new game from scratch, so you can sell far fewer copies and still turn a profit. It was probably also an experiment, the same way that releasing it on CD was: forumites demanded it, and Paradox noticed...but they weren't sure how that would translate into sales figures. So they tested the waters to see in a way that wouldn't cost them much.
All of this is pure speculation on my part, of course! But as much as I like Ricky, I don't see a sequel forthcoming. However, if you
do want to see a sequel, I'd strongly suggest buying multiple copies of Revolutions - their sales send a message to Paradox of how many sales they can expect from such a sequel.