2005 News Round Up – Activision

12 12 2005

“Through December, Next Generation is running a series of features looking at how leading publishers fared in 2005, including the highlights and lowlights.”

  • Activision extended its Spider-Man deal, and held Dreamworks into a 12-year agreement, covering the likes of Shrek and Bee Movie.
  • In the last year, Activision bought Vicarious Visions, best known for its handheld expertise, kids games specialist Toys For Bob and Quebec-based Beenox.
  • Activision’s year ending March brought in record revenues of $1.4 billion, 50% higher than the previous year. Profits came in at $138 million. Bobby Kotick said, “We delivered the highest net revenues, operating margin and earnings in the company’s history.” It’s doubtful that achievement will be repeated this March.
  • Clearly identifying a new revenue stream, Activision has been one of the main proponents of in-game advertising, working with research outfit Nielsen to talk-up the sector’s potential.
  • Bobby Kotick branded Take-Two’s budget-priced ESPN sports titles as “irresponsible” and “disruptive” and predicted way back in January that game prices for the next generation would be up $10. He added, “We haven’t raised prices as an industry in 20 years. Look at the movie business as an analogy. You’re not getting any more hours of entertainment — it’s the same two hours of a motion picture — and yet you’re spending twice as much as you did 10 years ago.”

more at next-gen.biz

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