Bobby Kotick: Traditional Companies like Microsoft, Sony, EA “are going to really struggle in the future”

Posted By | On 21st, Sep. 2010

Activision boss Bobby Kotick says traditional console making companies such as Nintendo, Sony and Microsoft, will face a “struggle” trying to figure out an online dominance in the future, something which Activision has already supposedly done. Kotick recently said that because of Activision’s domincance over online, they no longer compete with “console dependant companies.” Strangely enough, he feels their greatest rival in the online space is 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.”

He said that Activision’s merge with Vivendi has put the firm in a stronger positition, thanks to Blizzard, mainly. “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 led to 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.”

[CVG]


Tagged With: , , , ,

Amazing Articles You Might Want To Check Out!

Share Your Thoughts Below  (Always follow our comments policy!)



Keep On Reading!

XDefiant Gets New Trailer Showcasing Pre-Season Battle Pass

XDefiant Gets New Trailer Showcasing Pre-Season Battle Pass

Check out some of the cosmetic rewards and weapons that will be available in the first battle pass of XDefiant...

Assassin’s Creed Shadows Pre-Orders are “Very Strong” – Rumor

Assassin’s Creed Shadows Pre-Orders are “Very Strong” – Rumor

Though exact numbers aren't available, "No one in the know is disappointed with them," reports Insider Gaming'...

Senua’s Saga: Hellblade 2 Developer’s Next Game Has Been Greenlit – Rumor

Senua’s Saga: Hellblade 2 Developer’s Next Game Has Been Greenlit – Rumor

There also reportedly no plans to close Ninja Theory "any time soon." Other projects in development include th...

Life by You Early Access Launch Delayed Indefinitely

Life by You Early Access Launch Delayed Indefinitely

"While we would have preferred to commit to a new release window, we believe it is more prudent to hold off wh...

Destiny 2: The Final Shape Trailers Showcase Still Hunt, Microcosm and Khvostov 7G-0X Exotics

Destiny 2: The Final Shape Trailers Showcase Still Hunt, Microcosm and Khvostov 7G-0X Exotics

Ricocheting bullets, heavy shield damage and Golden Gun shots for every subclass define the expansion's new Ex...

Stellar Blade Sequel and PC Port Are Being Considered, Shift Up Says

Stellar Blade Sequel and PC Port Are Being Considered, Shift Up Says

Shift Up says it's looking to maximize the potential of the Stellar Blade IP with several future investments.