In a recent earnings call, Activision Blizzard revealed that it had lost over 60 million players, with a large portion of the loss coming from CoD.
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According Activision BlizzardAccording to the most recent quarterly financial report, the company’s games saw a significant drop in the number of monthly users over the past year, especially for Obligations titles The drop is an indication that the gaming giant, recently acquired by Microsoft, is not in the best position.
Obligations has been an important part of Activision Blizzard since the two companies merged in 2008, and is currently one of the best-selling and most recognized video game franchises in the world. In 2018, the series took an unexpected turn with call of duty: black ops 4 making the game exclusively multiplayer. Activision Blizzard went one step further with the battle royale call of duty: war zonethe first main Obligations title to be free-to-play. A sequel to war zone will be revealed this year, leading the public to believe that the free-to-play Obligations the model will stay. Activision Blizzard has enjoyed substantial profits from war zone since its release in 2020, and has been continuously updated ever since.
However, quarterly reports show that Activision Blizzard has lost approximately 63 million monthly active users compared to the same period last year (via GameSpot). According to Activision, “lower commitment” for call of duty: war zone and low Call of Duty: Vanguard sales were some of the biggest contributing factors. These player numbers also caused a roughly 18% drop in net revenue compared to the prior quarter and a 22% drop compared to the same period last year, marking the company’s lowest revenue since the third quarter of 2019. Despite Obligations being a big part of significant financial impact for the company, the series is supposedly expanding. A sequel to Call of Duty: Modern Warfare (2019) is already in the works and is reportedly the “more advanced experience” the franchise has seen.
It’s unclear if recent Activision Blizzard controversies have played a role in the decline in monthly active users, but with reports of boycotts against the company’s products, it wouldn’t be surprising. Players have also expressed disappointment at the state of the Obligations franchise, particularly the most recent installments. If the quality of future titles remains below players’ expectations, the Obligations games could keep losing players.
Despite its current legal and financial statements, Microsoft is buying Activision Blizzard for $68.7 billion. The deal is expected to be completed in 2023, and it is currently unknown if current CEO Bobby Kotick will leave the company once he does. Considering how large the portion of Activision BlizzardThe portfolio of is made up of the Obligations franchise, Microsoft may be incentivized to change these player and engagement trends.
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