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Kotick: Sony, MS, EA will 'struggle' to challenge us in future.

Guy Legend

Guy Legend

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Kotick: Sony, MS, EA will 'struggle' to challenge us in future
Tuesday 21-Sep-2010 1:00 PM Exec says Activision is no longer competing with console publishers

Activision boss Bobby Kotick has claimed that traditional console companies such as Sony, Microsoft and Nintendo face a "struggle" to "figure out" an online future - one which the US publisher has already cracked.

In yet more incendiary comments about rival companies, Kotick said that because of Activision's online dominance, it no longer considers itself competing with "console dependant companies".


Indeed, Kotick said that Activision's closest competitor in the online space was Facebook.

"Because we're in a lot of different businesses, we have a lot of different competitors," Kotick told the America Merrill Lynch Media, Comms and Entertainment conference.

"Our competitor online [is] Facebook in some respects. Even though they don't create content, they provide it. There are a lot of new social gaming companies that are emerging and take mindshare - not from our consumer, [because they're] a different demographic. But there's the potential that some of the social games will start appealing to our consumers so we're making a lot of investments in that area.

"But the traditional companies - the Electronic Arts, or Sony or Microsoft or Nintendo or Disney - that make console-based video games, are going to really struggle [in future] to figure out how to get into these online business we're in today."

Kotick claimed that Activision's 2007 'merger' with Vivendi - which saw the French media powerhouse effectively buy the US publisher - has put it in a more secure position than any other games company, largely thanks to Blizzard's infrastructure.

"It was why we sold control of our company to Vivendi," he added. "We recognised that developing all of the capabilities that Blizzard had ourselves would probably put us in a place where we would have... not [only] a decline in our operating margin, but no operating margin. We would invest billions of dollars in all this online capability - and likely actually not produce a great result.

"There [was] so much built-up expertise at Blizzard when we did this merger - that we're now applying to Call Of Duty, Tony Hawk, Guitar Hero - that we otherwise wouldn't have had access to. That puts us in a much better position than many of the very console-dependant companies we used to compete against."

Used to compete against. Bobby's above all that now.

Kotick used his presentation to claim that Activision is no longer simply aiming to be the "biggest interactive entertainment company" - but rather the "biggest entertainment company". As in, full stop. Wowsers.
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http://www.computerandvideogames.com/article.php?id=265557
 
Yes, MS is really struggling with how to make money online. Good job Bobby.

In before

CoD Online
Tony Hawk Online
Guitar Hero Online

$14.99/month failures.
 
Baffling.

I really can see Bobby doing something very silly in the near future and overeaching and doing something silly like trying to hold CoD hostage to force his silly pay model into the game and them calling his bluff.
 
mYm|17| said:
this guy just keeps spewing stuff out every day
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And, along with Pachter and Kudo, is likely one of the most quoted people on GAF. Go figure. What's really amazing is GAF's love affair with this guy. This isn't even a particularly interesting comment to dissect.
 
Kusagari said:
:lol :lol :lol at Kotick thinking he knows more about online than MS.
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hmmm, I don't think he's the most wise on this subject but MS is not expert either...
 
Activision destroys all their big IP's. Tony Hawk, Guitar Hero, they are in the process of fucking with CoD. What kind of future is that?
 
Darklord said:
Activision destroys all their big IP's. Tony Hawk, Guitar Hero, they are in the process of fucking with CoD. What kind of future is that?
Click to expand...

They are also great at creating new IP's, such as the one you listed. As they milk them, they make new ones.
 
Darklord said:
Activision destroys all their big IP's. Tony Hawk, Guitar Hero, they are in the process of fucking with CoD. What kind of future is that?
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COD Online(paid) future?

Only thing I can really think of save Blizzard.
 
Darklord said:
Activision destroys all their big IP's. Tony Hawk, Guitar Hero, they are in the process of fucking with CoD. What kind of future is that?
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The Kotick online social gaming future of watered downed IP's no one gives a damn about™
 
Jtyettis said:
COD Online(paid) future?

Only thing I can really think of save Blizzard.
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I can't see it working. With so many competitors like Battlefield and MoH, can CoD really risk alienating itself like that? People will drop $20 for a map pack but each month on top of Xbox Live? That's a bit of a stretch.
 
COD and WoW are pretty much gigantic compared to any competition in terms of userbase, outside stuff like Facebook games. Presumably that's what he meant. Cue GAF getting upset about a guy that wants his business to sound successful.
 
Vinci said:
And, along with Pachter and Kudo, is likely one of the most quoted people on GAF. Go figure. What's really amazing is GAF's love affair with this guy. This isn't even a particularly interesting comment to dissect.
Click to expand...

Does anyone really love this thing though? I thought we all just loved to hate it, since it repeatedly puts it's neck out on the chopping block for us.
 
Slayer-33 said:
The Kotick online social gaming future of watered downed IP's no one gives a damn about™
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I read this comment and saw only the underlined part, and thought, "Man, that would make a great name for Activision's online network."
 
Kotick said:
"Our competitor online [is] Facebook in some respects. Even though they don't create content, they provide it. There are a lot of new social gaming companies that are emerging and take mindshare - not from our consumer, [because they're] a different demographic. But there's the potential that some of the social games will start appealing to our consumers so we're making a lot of investments in that area.
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CoDville confirmed?
 
Kotick, you're fucking nothing without Blizzard. NOTHING.

otake said:
They are also great at creating new IP's, such as the one you listed. As they milk them, they make new ones.
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Except...Activision hasn't created a damn thing in about 28 years. Harmonix created Guitar Hero. Neversoft created THPS, and Infinity Ward created Call of Duty. Kotick's creative contribution - 0%.
 
So should this http://arstechnica.com/gaming/news/...-bungie-only-high-quality-indie-developer.ars get a new thread or should we finally suck it up and have a general GAF Hates Bobby Kotick thread in which new updates can be posted?

edit:

Activision CEO says Bungie only high-quality indie developer
By Andrew Webster | Last updated 10 minutes ago

Bobby Kotick is at it again. The outspoken CEO of Activision Blizzard has gone on record as saying that Halo developer Bungie—who just so happened to sign a 10-year deal with Activision—is the only high-quality indie developer around.

"Bungie are a very unusual company," Kotick said during a talk at the America Merrill Lynch Media, Communications, and Entertainment conference (via CVG). "They're probably the last remaining high-quality independent developer... that has sort of has institutional skills and capabilities. And they're a real company."

And while Bungie is certainly good at what it does—as our review of Halo: Reach can attest—the list of other skilled indie developers is very long, including the likes of 2D Boy, 5th Cell, Capy Games, Gearbox, Level 5, Q-Games, Sucker Punch, Twisted Pixel, Valve and countless others.

It's an especially curious remark considering Activision recently attempted to court indie developers with a contest featuring a grand prize of $500,000. Then again, saying things that enrages gamers is sort of what Kotick does best.
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Foxix said:
What's the legality behind sewing someone's mouth closed, and then welding it permanently?
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Over here it would amount to actual bodily harm contrary to s47 Offences against the Person Act 1861. Unless, of course, you could convincingly show that it was for his own good. Might be an angle there.
 
What is he even talking about? He mentions Sony, Nintendo and Microsoft first and talks about how they're going to struggle? The provide the plattform Publishers/Developers can sell their stuff on. As long as there are people providing content and people paying for that content no one will struggle. Even Kottick can't sell Call of Duty Map Packs without letting Sony and Microsoft have X% of the Map Pack price.

"But the traditional companies - the Electronic Arts, or Sony or Microsoft or Nintendo or Disney - that make console-based video games, are going to really struggle [in future] to figure out how to get into these online business we're in today."
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Is he talking about paid subscriptions to play games? They already found ways to Nickel&Dime us all the time. If Kotick is talking about consoles he also has to think about how Activision is in the same situation as Disney, EA, and every other third party company.
 
He says what the investors want to hear.... still funny though.
 
otake said:
hmmm, I don't think he's the most wise on this subject but MS is not expert either...
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In the console space MS is charging $59.99 for what everybody is giving away for free (I'm leaving bullet points and comparisons out of this).

They also topped 1 billion dollars last year with Live.

I'd say they are pretty much THE console experts dealing with online.

Live is also forcing Sony to play catch up with PSN+ and Bobby himself has talked about how he wants a piece of that delicious Live pie.

If anybody was going to be considered an expert in the online area when it comes to consoles, I would say it would be MS and Steam would be the defacto on the PC.
 
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