Controversial games publisher Take-Two revealed that its Q3 2007 fiscal results has seen a 14% year-over-year drop in revenue, following first and second quarter losses with a $58.5 million net loss, though its far less than that of last year.

However, the company had good news for itself: BioShock is popular. The obvious fact was made more obvious as they revealed that the Xbox 360 demo was the faster to hit 1 million downloads on Xbox Live Marketplace and that the company has shipped 1.5 million units of the game worldwide. Though they wouldn’t provide exact sales numbers, the company believes that BioShock is “one of the fastest selling games in video game history.”

Take-Two plans to capitalize on the success of the game by hoping to make it into an ongoing franchise. Company chairman Strauss Zelnick stated that a “two-year schedule would be optimal” for the game, comparing it to that of GTA. “I’d expect we’d apply roughly the same strategy to BioShock because [it] is shaping up to be a very important franchise.”

In other news, the call revealed that PS3 action game L.A. Noire and PSP music game Beaterator have both been delayed. They are now expected to ship sometime in Take-Two fiscal year 2009, which begins in November 2008.