Call of Duty generated lower revenue but more popularity
Posted on February 14, 2010
Filed Under Call of Duty |
Activision’s franchise “Call of Duty” may generate “sharply lower revenue,” in 2010, to the tune of a $250 million decline in profit as predicted by Wedbush Morgan Securities analyst Michael Pachter.
For 2010, Activision Blizzard should still be delicately placed, but the Call of Duty wave probably will not kick up sales as much as it did last year, and Guitar Hero isn’t expected to boost the bottom line as much either. Where Activision Blizzard should gain a significant rise, is from its Blizzard titles.
This is where the Activision Games merger really shows its effectiveness, “Activision’s core business remains strong and we expect game shifts to allow it to grow market share next year. We expect sales of at least 12 million incremental PC software units for Blizzard games next year, with a bias that the number could be higher. This should drive revenues $400 – 600 million higher, with substantial margin contribution,” Pachter noted.
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