Activision Publishing, Inc. is an American
video game publisher based in
Santa Monica, California. It serves as the publishing business for its parent company,
Activision Blizzard, and consists of several subsidiary studios. Activision is one of the largest third-party video game publishers in the world and was the top United States publisher in 2016.
The company was founded as Activision, Inc. on October 1, 1979 in
Sunnyvale, California
Sunnyvale () is a city located in the Santa Clara Valley in northwest Santa Clara County in the U.S. state of California.
Sunnyvale lies along the historic El Camino Real and Highway 101 and is bordered by portions of San Jose to the nort ...
, by former
Atari
Atari () is a brand name that has been owned by several entities since its inception in 1972. It is currently owned by French publisher Atari SA through a subsidiary named Atari Interactive. The original Atari, Inc. (1972–1992), Atari, Inc., ...
game developers upset at their treatment by Atari in order to develop their own games for the popular
Atari 2600 home video game console. Activision was the first independent, third-party, console video game developer. The
video game crash of 1983, in part created by too many new companies trying to follow in Activision's footsteps without the expertise of Activision's founders, hurt Activision's position in console games and forced the company to diversify into games for home computers, including the acquisition of
Infocom
Infocom was an American software company based in Cambridge, Massachusetts, that produced numerous works of interactive fiction. They also produced a business application, a relational database called ''Cornerstone (software), Cornerstone''.
...
. After a management shift, with CEO
Jim Levy
Jim Levy was a music industry executive before he became the founding chief executive officer for Activision
Activision Publishing, Inc. is an American video game publisher based in Santa Monica, California. It serves as the publishing busin ...
replaced by
Bruce Davis, the company renamed itself to Mediagenic and branched out into business software applications. Mediagenic quickly fell into debt, and the company was bought for around by
Bobby Kotick and a small group of investors around 1991.
Kotick drastically revamped and restructured the company to get it out of debt: dismissing most of its staff, moving the company to Los Angeles, and reverting to the Activision name. Building on existing assets, the Kotick-led Activision pursued more publishing opportunities and, after recovering from its former financial troubles, started acquiring numerous studios and various types of
intellectual property over the 1990s and 2000s, among these being the ''
Call of Duty
''Call of Duty'' is a first-person shooter video game Media franchise, franchise published by Activision. Starting out in 2003, it first focused on games set in World War II. Over time, the series has seen games set in the midst of the Cold W ...
'' and ''
Guitar Hero'' series. A
holding company was formed as Activision's parent company to manage both its internal and acquired studios. In 2008, this holding company merged with
Vivendi Games (the parent company of
Blizzard Entertainment) and formed Activision Blizzard, with Kotick as its CEO. Within this structure, Activision manages numerous third-party studios and publishes all games besides those created by Blizzard.
History
Founding (1979)
In 1976,
Warner Communications bought
Atari, Inc. from
Nolan Bushnell to help accelerate the
Atari Video Computer System (Atari VCS or later the Atari 2600) to market by 1977. That same year, Atari began hiring programmers to create games for the system. Prior to Warner's acquisition, the company did not award bonus pay to programmers who worked on profitable games, nor credit the programmers publicly, to prevent them from being recruited by rival game companies. Warner Communication's management style was also different from Bushnell's. According to developer
John Dunn John, Jack, Johnny, Jon, or Jonathan Dunn may refer to:
Entertainment
*John Dunn (pipemaker) (c. 1764–1820), inventor of keyed Northumbrian smallpipes
*John Dunn (actor) born O'Donoghue (1813–1875), Australian comic actor
*John Millard Dunn (1 ...
, Warner management treated developers as engineers rather than creative staff, creating conflicts with staff. Atari's CEO
Ray Kassar
Raymond Edward Kassar (January 2, 1928 – December 10, 2017) was president, and later CEO, of Atari Inc. from 1978 to 1983. He had previously been executive vice-president of Burlington Industries, the world's largest textile company at the tim ...
, named to that position following Warner's acquisition in 1978, was committed to keeping production costs minimal for Warner, according to
David Crane, one of Atari's
programmers
A computer programmer, sometimes referred to as a software developer, a software engineer, a programmer or a coder, is a person who creates computer programs — often for larger computer software.
A programmer is someone who writes/creates ...
.
In early 1979, Atari's marketing department circulated a memo listing the best-selling cartridges from the previous year to help guide game ideas.
Crane noted that the games he was fully responsible for had brought in over for the company but he was still only receiving a salary.
Out of a development staff of thirty-five, four programmers (Crane,
Larry Kaplan
Larry Kaplan is an American game designer who was the co-founder of Activision.
Kaplan studied at the University of California, Berkeley from 1968 through 1974 and graduated with a degree in Computer Science.
He started at Atari, Inc. in Augus ...
,
Alan Miller and
Bob Whitehead), had produced games that had accounted for 60% of Atari's sales.
Crane, Kaplan, Miller, and Whitehead became vocal about the lack of recognition within the company and became known as the "Gang of Four".
The group met with Kassar in May 1979 to demand that the company treat developers as
record labels treated musicians, with royalties and their names on game boxes. Kaplan, who called the others "the best designers for the
600in the world", recalled that Kassar called the four men "towel designers" and claimed that "anybody can do a cartridge".
The four made the decision to soon leave Atari and start their own business, but were not sure how to go about it.
In 1979, the concept of
third-party developers did not exist, as software for
video game consoles were published exclusively by makers of the systems for which the games were designed; thus the common thinking was that to make console games, one needed to make a console first.
The four decided to create their own independent game development company. They were directed by their attorney to
Jim Levy
Jim Levy was a music industry executive before he became the founding chief executive officer for Activision
Activision Publishing, Inc. is an American video game publisher based in Santa Monica, California. It serves as the publishing busin ...
, who was at the time raising
venture capital to get into the software business for early home computers. Levy listened to their plans, agreed with its direction, and helped the four to secure about in capital from
Sutter Hill Ventures.
They also checked with legal counsel on their plans to develop games for the Atari VCS, and included litigation fees in their capital investment.
By August, Crane and Miller had left Atari, with Whitehead joining them shortly after.
Kaplan had also quit Atari in August, but initially decided not to join as he did not like the starting business plan; he came back later to join Activision that December. Activision was formally founded on October 1, 1979, with Levy serving as CEO. The company was initially named "Computer Arts, Inc." while they considered a better title. The founders had thought of the name VSync, Inc., but feared that the public would not understand or know how to say it. Levy suggested combining "active" and "television" to come up with Activision.
Early years (1980–1982)
Activision began working out of Crane's garage in the latter half of 1979, each programmer developing their own game that was planned for release in mid-1980, ''
Dragster'', ''
Fishing Derby
''Fishing Derby'' is a fishing video game written by David Crane for the Atari Video Computer System (renamed to the Atari 2600 in 1982) and published by Activision in 1980. It's one of the first video games developed by Activision.
Gameplay
...
'', ''Checkers'', and ''
Boxing''.
The four's knowledge of the Atari 2600, as well as software tricks for the system, helped them make their own games visually distinct from Atari-produced games.
To further distinguish themselves, Activision's boxes were brightly colored and featured an in-game screenshot on the back cover.
Instruction manuals for games devoted at least one page to credit the developer. Additionally, for nearly all of Activision's games through 1983, the instruction manuals included instructions for sending the company a photograph of a player's high scores to receive a patch in return.
Ahead of the release of the first four games, Activision obtained space at the mid-year 1980
Consumer Electronics Show
CES (; formerly an initialism for Consumer Electronics Show) is an annual trade show organized by the Consumer Technology Association (CTA). Held in January at the Las Vegas Convention Center in Winchester, Nevada, United States, the event typi ...
to showcase their titles, and quickly obtained favorable press.
The attention afforded to Activision worried Atari, as the four's departure had already created a major dent in their development staff.
Atari initially tried to tarnish Activision's reputation by using industry press at CES to label those that took trade secrets as "evil, terrible people", according to Crane, and then later threatened to refuse to sell Atari games to retailers that also carried these Activision titles.
By the end of 1980, Atari filed a formal lawsuit against Activision to try to stop the company, claiming the four had stolen trade secrets and violated
non-disclosure agreement
A non-disclosure agreement (NDA) is a legal contract or part of a contract between at least two parties that outlines confidential material, knowledge, or information that the parties wish to share with one another for certain purposes, but wish ...
s.
The lawsuit was settled by 1982, with Activision agreeing to pay royalties to Atari but otherwise legitimizing the third-party development model.
In 2003, Activision's founders were given the
Game Developers Choice "First Penguin" award, reflecting their being the first successful third-party developer in the video game industry.
Following the first round of releases, each of the founders developed their own titles, about once a year, over the first few years of the company.
While their 1980 games were modest hits, one of the company's first successful games was ''
Kaboom! KaBoom! may refer to:
*KaBOOM! (non-profit organization)
* KaBOOM! (publisher), an imprint of the U.S. comics publisher Boom! Studios
See also
*Kaboom (disambiguation)
Kaboom is an onomatopoeic term representing the sound of an explosion. It may ...
'', released in 1981, which was Activision's first game to sell over a million units.
Activision's breakout title was 1982's ''
Pitfall!'', created by Crane. More than four million copies of the game were sold. Near the end of 1982, Kaplan left Activision to work on the development of the
Amiga
Amiga is a family of personal computers introduced by Commodore in 1985. The original model is one of a number of mid-1980s computers with 16- or 32-bit processors, 256 KB or more of RAM, mouse-based GUIs, and significantly improved graphi ...
personal computer as he wanted to be more involved in hardware development.
Total sales for Activision were estimated at and revenues at ahead of its June 1983
initial public offering; at this point Activision had around 60 employees.
Danny Goodman
Danny Goodman is a computer programmer, technology consultant, and an author of over three dozen books and hundreds of magazine articles on computer-related topics. He is best known as the author of ''The Complete HyperCard Handbook'' (1987, Ban ...
stated in ''
Creative Computing
''Creative Computing'' was one of the earliest magazines covering the microcomputer revolution. Published from October 1974 until December 1985, the magazine covered the spectrum of hobbyist/home/personal computing in a more accessible format th ...
Video & Arcade Games'' in 1983, "I doubt that there is an active
tari 2600 Tari may refer to:
Places
* Tari, Papua New Guinea, a town in the Hela Province of Papua New Guinea
* Tari Urban LLG, a local-level government area of Papua New Guinea
* Tari, Siliguri, a census town in Dajeeling district, West Bengal, India
* Tar ...
owner who doesn't have at least one Activision cartridge in his library". The company completed its public offering in June 1983 on NASDAQ under the stock ticker AVSN.
The video game market crash (1983–1988)
The success of Activision, alongside the popularity of the Atari 2600, led to many more home consoles third-party developers as well as other home consoles. Activision produced some of its Atari games for the
Intellivision
The Intellivision is a home video game console released by Mattel, Mattel Electronics in 1979. The name is a portmanteau of "intelligent television". Development began in 1977, the same year as the launch of its main competitor, the Atari 2600. I ...
and
ColecoVision consoles, among other platforms. However, several new third-party developers also arose, attempting to follow the approach Activision had used but without the experience they had; according to Crane, several of these companies were founded with venture capital and hired programmers with little game design experience off the street, mass-publishing whatever product the developers had made. This was a contributing factor to the
video game crash of 1983.
For Activision, while they survived the crash, they felt its effects in the following years. These third-party developers folded, leaving warehouses full of unsold games, which savvy retailers purchased and sold at a mass discount ( compared to Activision's
manufacturer's suggested retail price). While there was still a demand for Activision games, uneducated consumers were more drawn to the heavily discounted titles instead, reducing their income.
Their quarterly revenue dropped from in mid-1983 to about by the end of 1984, according to Levy, and were forced to lay off staff, going from about 400 employees to 95 in that period.
Because of this, Activision decided that they needed to diversify their games onto home computers such as the
Commodore 64
The Commodore 64, also known as the C64, is an 8-bit home computer introduced in January 1982 by Commodore International (first shown at the Consumer Electronics Show, January 7–10, 1982, in Las Vegas). It has been listed in the Guinness ...
,
Apple, and
Atari 8-bit family
The Atari 8-bit family is a series of 8-bit home computers introduced by Atari, Inc. in 1979 as the Atari 400 and Atari 800. The series was successively upgraded to Atari 1200XL , Atari 600XL, Atari 800XL, Atari 65XE, Atari 130XE, Atari 800XE, ...
to avoid completely going out of business like other third-party developers.
There still was a drain of talent through 1985 from the crash. Miller and Whitehead left in 1984 due to the large devaluation of their stock and went to form
Accolade
The accolade (also known as dubbing or adoubement) ( la, benedictio militis) was the central act in the rite of passage ceremonies conferring knighthood in the Middle Ages. From about 1852, the term ''accolade'' was used much more generally to ...
.
With the video game crash making console game development a risky proposition, the company focused on developing for home computers with games like ''
Little Computer People'' and ''
Hacker'', while Levy tried to keep expenditures in check as they recovered.
Looking to expand further, Activision acquired, through a corporate merger, the struggling
text adventure pioneer
Infocom
Infocom was an American software company based in Cambridge, Massachusetts, that produced numerous works of interactive fiction. They also produced a business application, a relational database called ''Cornerstone (software), Cornerstone''.
...
in June 1986. This acquisition was spearheaded by Levy, who was a big fan of Infocom's titles and felt the company was in a similar position as Activision.
About six months after the "Infocom Wedding", Activision's board decided to replace Levy with
Bruce Davis. Davis was against the purchase of Infocom from the start and was heavy-handed in its management,
and even attempted to seek a lawsuit to recover their purchase from Infocom's shareholders.
Crane also found Davis difficult to work with and was concerned with how Davis managed the closure of
Imagic, one of the third-party development studios formed in Activision's success in 1981.
Crane left Activision in 1986 and helped
Garry Kitchen
Garry Kitchen (born August 18, 1955, in Washington, D.C., United States) is a video game designer, programmer, and executive best known for developing games for the Atari 2600, Commodore 64, Nintendo Entertainment System, and Super Nintendo Ente ...
found
Absolute Entertainment
Absolute Entertainment was an American Video game publisher, video game publishing company. Through its video game developer, development house, Imagineering (company), Imagineering, Absolute Entertainment produced titles for the Amiga, Atari 260 ...
.
Mediagenic (1988–1991)
In 1988, Activision began involvement in software besides video games, such as business applications. As a result, Activision changed its corporate name to Mediagenic to better represent all of its activities.
Mediagenic consisted of four groups:
* Activision: video game publisher for various platforms, notably the
Nintendo Entertainment System
The Nintendo Entertainment System (NES) is an 8-bit third-generation home video game console produced by Nintendo. It was first released in Japan in 1983 as the commonly known as the The NES, a redesigned version, was released in America ...
, the
Sega Master System, the
Atari 7800,
Atari ST
The Atari ST is a line of personal computers from Atari Corporation and the successor to the Atari 8-bit family. The initial model, the Atari 520ST, had limited release in April–June 1985 and was widely available in July. It was the first pers ...
,
Commodore 64
The Commodore 64, also known as the C64, is an 8-bit home computer introduced in January 1982 by Commodore International (first shown at the Consumer Electronics Show, January 7–10, 1982, in Las Vegas). It has been listed in the Guinness ...
and
Amiga
Amiga is a family of personal computers introduced by Commodore in 1985. The original model is one of a number of mid-1980s computers with 16- or 32-bit processors, 256 KB or more of RAM, mouse-based GUIs, and significantly improved graphi ...
*
Infocom
Infocom was an American software company based in Cambridge, Massachusetts, that produced numerous works of interactive fiction. They also produced a business application, a relational database called ''Cornerstone (software), Cornerstone''.
...
: developer of interactive fiction games
*
Gamestar: initially an independent company but purchased by Activision in 1986. Specialized in sports video games
* Ten Point O: business application software
In 1989, after several years of losses, Activision closed down the Infocom studios, extending to only 11 of the 26 employees an offer to relocate to Activision's
Silicon Valley headquarters. Five of them accepted this offer.
Notably during this time, Mediagenic was known to have worked on the early version of a football game that would be the basis for ''
Joe Montana Football
''Joe Montana Football'' is an American football video game developed by Electronic Arts, and published by Sega for the Genesis in 1991. Although the game does feature Joe Montana (as the title respectively says) as a playable character, since Seg ...
''. Sega of America's Michael Katz had been able to get Sega to pay Mediagenic around early 1990 to develop this into the branded version after securing the rights to
Joe Montana's name, but was unaware of internal troubles that had been going on within the company, which had left the state of the game mostly unfinished. Katz and Sega were forced to take the incomplete game to
Electronic Arts, which had been developing its own ''
John Madden Football
''Madden NFL'' (known as ''John Madden Football'' until 1993) is an American football video game series developed by EA Tiburon for EA Sports. It is named after Pro Football Hall of Fame coach and commentator John Madden and sold more than 130 m ...
'' series for personal computers, to complete the game.
During this period Mediagenic, via Activision, secured the rights to distribute games from
Cyan Worlds. The first game published by Activision from Cyan was ''
The Manhole
''The Manhole'' is an adventure video game in which the player opens a manhole and reveals a gigantic beanstalk, leading to fantastic worlds.
Summary
The game was first released on floppy disks in 1988 by Cyan, Inc. (now ''Cyan Worlds'') and d ...
'', on
CD-ROM
A CD-ROM (, compact disc read-only memory) is a type of read-only memory consisting of a pre-pressed optical compact disc that contains data. Computers can read—but not write or erase—CD-ROMs. Some CDs, called enhanced CDs, hold both comput ...
for personal computers, the first major game distributed in this format.
Purchase by Bobby Kotick (1991–1997)
Davis' management of Mediagenic failed to produce a profitable company; in 1991, Mediagenic reported a loss of on only of revenue and had over in debt.
Cyan severed their contract with Activision, and turned to
Broderbund for publishing, including what would become one of the most significant computer games of the 1990s, ''
Myst''.
Bobby Kotick had become interested in the value of the video game industry following the crash, and he and three other investors worked to buy
Commodore International in an effort to gain access to the
Commodore Amiga line of personal computers. After failing to complete purchase, the group bought a company that licensed
Nintendo
is a Japanese Multinational corporation, multinational video game company headquartered in Kyoto, Japan. It develops video games and video game consoles.
Nintendo was founded in 1889 as by craftsman Fusajiro Yamauchi and originally produce ...
characters, and through Nintendo was directed to the failing Mediagenic.
Kotick was drawn to buy out Mediagenic not for its current offerings but for the Activision name, given its past successes with ''Pitfall!'', with hopes to restore Activision to its former glory. Crane said that Kotick has recognized the Activision brand name could be valued around and rather than start a new company and spend that amount to obtain the same reputation, he saw the opportunity to buy the failing Mediagenic at a bargain price and gain Activision's reputation with minimal cost.
Kotick and additional investors bought Mediagenic for approximately in 1991. This group of investors included real estate businessman
Steve Wynn and
Philips Electronics
Koninklijke Philips N.V. (), commonly shortened to Philips, is a Dutch multinational conglomerate corporation that was founded in Eindhoven in 1891. Since 1997, it has been mostly headquartered in Amsterdam, though the Benelux headquarters is ...
.
Kotick became CEO of Mediagenic on its purchase and made several immediate changes: He let go of all but 8 of the companies' 150 employees, performed a full restructuring of the company, developed a bankruptcy restructuring plan, and reincorporated the company in Los Angeles, California.
In the bankruptcy plan, Kotick recognized that Mediagenic still had valuable assets, which included the Infocom library as well as its authoring tools to make games, Activision's distribution network, and licenses to develop on Nintendo and Sega home consoles.
Kotick offset some debt by giving stock in the company to its distributors as to keep them vested in the company's success.
Kotick also had the company reissue several of its past console and Infocom titles as compilations for personal computers. Kotick had also recognized the value of the ''
Zork'' property from Infocom, and had the company develop a sequel, ''
Return to Zork''. Combined, these steps allowed Mediagenic to fulfill on the bankruptcy plan, and by the end of 1992, Kotick renamed Mediagenic to the original Activision name.
The new Activision went public in October 1993, raising about ,
and was listed on NASDAQ under its new ticker symbol ATVI.
By 1995, Kotick's approach had met one promise he made to investors: that he would give them four years of 50% growth in revenues while remaining break-even. Reaching this goal, Kotick then set Activision on his second promise to investors, to develop high-demand games and make the company profitable by 1997.
Activision published the first-person perspective ''
MechWarrior'' in 1989, based on
FASA's pen-and-paper game ''
BattleTech''. A sequel, ''
MechWarrior 2'', was released in 1995 after two years of delays and internal struggles, prompting FASA not to renew their licensing deal with Activision. To counter, Activision released several more games bearing the ''MechWarrior 2'' name, which did not violate their licensing agreement. These included ''NetMech'', ''
MechWarrior 2: Ghost Bear's Legacy'', and ''
MechWarrior 2: Mercenaries''. The entire ''MechWarrior 2'' game series accounted for more than in sales.
Activision procured the license to another pen-and-paper-based
war game
A wargame is a strategy game in which two or more players command opposing armed forces in a realistic simulation of an armed conflict. Wargaming may be played for recreation, to train military officers in the art of strategic thinking, or to s ...
, ''
Heavy Gear'', in 1997.
The video game version was well received by critics, with an 81.46% average rating on
GameRankings
GameRankings was a video gaming review aggregator that was founded in 1999 and owned by CBS Interactive. It indexed over 315,000 articles relating to more than 14,500 video games. GameRankings was discontinued in December 2019, with its staff bei ...
and being considered the best game of the genre at the time by
GameSpot. The ''Mechwarrior 2'' engine was also used in other Activision games, including 1997's ''
Interstate '76'' and 1998's ''
Battlezone''.
Growth and acquisitions (1997–2008)
With several of its own successfully developed games helping to turn a profit, Kotick led Activision to start seeking acquisitions of video game development studios, guided by market surveys to determine what areas of content to focus on.
It is estimated that between 1997 and 2008, Activision made 25 acquisitions, several for undisclosed amounts. Several of these came prior to 2001, in the midst of the
Dot-com bubble, enabling the company to acquire studios at a lower valuation.
On June 16, 2000, Activision reorganized as a
holding company, Activision Holdings, to manage Activision and its subsidiaries more effectively.
Activision changed its corporate name from "Activision, Inc." to "Activision Publishing, Inc.", while Activision Holdings took Activision's former "Activision, Inc." name.
Activision Publishing became a wholly owned subsidiary of Activision, which in turn became the publicly traded company, with all outstanding shares of capital stock converted.
Some of the key acquisitions and investments made by Activision in this period include:
*
Raven Software: Raven was founded in 1990; because of their close proximity, Raven frequently collaborated with
id Software, and one of the studio's early successes was the ''
Heretic
Heresy is any belief or theory that is strongly at variance with established beliefs or customs, in particular the accepted beliefs of a church or religious organization. The term is usually used in reference to violations of important religi ...
'' series using id's
Doom engine. Around 1997, Raven's founders Brian and Steve Raffel felt the need to seek a parent company. They arranged a publishing deal with Activision in 1997, which not only served to provide Raven additional financial support, but also gave Activision the opportunity to work closely with id Software and gain business relationships with them. By the end of 1997, Activision acquired Raven as one of its first subsidiaries under Kotick. The acquisition price was $12 million.
*
Neversoft: Prior to its acquisition in 2000, Activision had arranged a development deal with Neversoft to re-develop ''
Apocalypse
Apocalypse () is a literary genre in which a supernatural being reveals cosmic mysteries or the future to a human intermediary. The means of mediation include dreams, visions and heavenly journeys, and they typically feature symbolic imager ...
'', a title that failed to be completed within Activision. Subsequently, Activision had Neversoft work on a prototype for a
skateboarding game, which would end up becoming the first in the ''
Tony Hawk's
''Tony Hawk's'' is a skateboarding video game series published by Activision and endorsed by the American professional skateboarder of the same name. The series was primarily developed for home consoles by Neversoft from launch to 2007, until ...
'' series of skateboarding video games. ''
Tony Hawk's Pro Skater'' was a critical success, leading Activision to acquire Neversoft in April 2000. After eight games, the series has brought in .
*
Infinity Ward
Infinity Ward, Inc. is an American video game developer. They developed the video game ''Call of Duty'', along with seven other installments in the ''Call of Duty'' series. Vince Zampella, Grant Collier, and Jason West established Infinity Ward ...
: After
Electronic Arts released ''
Medal of Honor: Allied Assault'' in 2002, several of the developers from
2015, Inc.
2015 Games, LLC (formerly 2015, Inc.), also known as 2015, is an American video game development company, best known for developing '' Medal of Honor: Allied Assault''.
History
2015, Inc. was founded by Tom Kudirka in 1997. He assembled a ...
, disenchanted with their current contracts, left to form a new studio, Infinity Ward. Kotick himself provided the group with startup funding, as they were seeking to develop a similar title to ''Medal of Honor''. Activision acquired the studio for in January 2003, and later publish their first title, ''
Call of Duty
''Call of Duty'' is a first-person shooter video game Media franchise, franchise published by Activision. Starting out in 2003, it first focused on games set in World War II. Over time, the series has seen games set in the midst of the Cold W ...
'', directly competing with Electronic Arts.
The ''
Call of Duty
''Call of Duty'' is a first-person shooter video game Media franchise, franchise published by Activision. Starting out in 2003, it first focused on games set in World War II. Over time, the series has seen games set in the midst of the Cold W ...
'' series has since seen nearly yearly releases and as of 2016 had sold more than 250 million units and brought in more than in revenue.
*
Treyarch: The Santa Monica, California studio was founded in 1996. With the success of the first ''Tony Hawk'' game from Neversoft, Activision used Treyarch to assist in further ''Tony Hawk'' games as well as to develop titles using Activision's license of
Marvel's
Spider-Man
Spider-Man is a superhero appearing in American comic books published by Marvel Comics. Created by writer-editor Stan Lee and artist Steve Ditko, he first appeared in the anthology comic book '' Amazing Fantasy'' #15 (August 1962) in the ...
. Activision acquired the studio in 2001 for about . Following the success of ''Call of Duty'' from Infinity Ward, Activision moved Treyarch to assist in the series' development, trading off each year' major release between the two studios.
*
Gray Matter Studios
Gray Matter Interactive Studios, Inc. (Gray Matter Studios; formerly Xatrix Entertainment, Inc.) was an American video game developer based in Los Angeles.
History
Drew Markham and his business partner Barry Dempsey founded Xatrix Entertain ...
: While Gray Matter was originally founded in 1993 as Xatrix Entertainment, it was rebranded to Gray Matter in 1999 as they began work on ''
Return to Castle Wolfenstein'', in conjunction with
Nerve Software
Nerve Software, LLC is an American video game developer that was co-founded by ex-id Software employee Brandon James. Many of the original employees at Nerve were previously employed by Rogue Entertainment, another U.S.
The United State ...
and oversight by id Software who owned the ''Castle Wolfenstein'' IP. Activision, the game's publisher, acquired a portion of Gray Matter's stock during this time. ''Return to Castle Wolfenstein'' was a critical and financial success, and led Activision to acquire the remaining shares of Gray Matter in 2002 for about , with the intent to help Infinity Ward expand out the ''Call of Duty'' franchise. In 2005, Activision made the decision to merge the smaller Gray Matter into the larger Treyarch to put their combined talents towards ''Call of Duty 3''.
*
RedOctane: Around 2005, Red Octane was co-developing ''
Guitar Hero'', a console game based on the arcade game ''
GuitarFreaks'', with
Harmonix; Harmonix was developing the software while RedOctane developed the instrument controllers. ''Guitar Hero'' was a major success. Activision purchased RedOctane for nearly in June 2006. The series has since earned more than in revenues.
*
Toys for Bob: Toys for Bob was founded by
Paul Reiche III,
Fred Ford, and Terry Falls in 1989 and gained success in developing the first two ''
Star Control'' games, and later made film-to-video game adaptions. Activision purchased the studio in 2005, and had given them work on some of the ''Tony Hawk's'' games as well as other licensed properties. Following Activision's merger with Vivendi, Activision gained the ''
Spyro
''Spyro'' is a series of platform games which features the main protagonist Spyro, a dragon. Since the series' introduction in 1998 with the PlayStation game ''Spyro the Dragon'', there have been numerous sequels and a reboot trilogy. Originall ...
'' intellectual property and assigned Toys for Bob to develop the series in a new direction, leading to the
toys-to-life ''
Skylanders'' series.
Merger with Vivendi Games (2008)
While Activision was highly successful with its range of developers and successful series, Kotick was concerned that they did not have a title for the growing
massively multiplayer online market, which presented the opportunity for continued revenues from subscription models and microtransactions instead of the revenue from a single sale. Around 2006, Kotick contacted
Jean-Bernard Lévy, the new CEO of
Vivendi, a French media conglomerate. Vivendi had a games division,
Vivendi Games, that was struggling to be viable at the time, but its principal feature was that it owned
Blizzard Entertainment and its highly successful ''
World of Warcraft'' game, which was drawing in a year in subscription fees. Vivendi Games also owned
Sierra Entertainment.
Lévy recognized Kotick wanted control of ''World of Warcraft'', and offered to allow the companies to merge, but only if Lévy held the majority shares in the merged group, forcing Kotick to cede control. Kotick fretted about this decision for a while, according to friends and investors. During this time in 2006–2007, some of Activision's former successful properties began to wane, such as ''Tony Hawk's'', so Activision bought
RedOctane, the publisher of the ''Guitar Hero'' franchise.
Kotick met with Blizzard's president
Mike Morhaime
Michael "Mike" Morhaime (born November 3, 1967) is an American video game developer and entrepreneur. He is the chief executive officer (CEO) and founder of Dreamhaven, located in Irvine, California. Morhaime is best known as the co-founder and t ...
, and learned that Blizzard also had a successful inroad into getting their games into China, a potentially lucrative market. Given this potential opportunity, Kotick agreed to the merger.
Activision's board signed on to the merger by December 2007. The merger was completed in July 2008. The new company was called
Activision Blizzard and was headed by Kotick, while Vivendi maintained a 52% share in the company.
The new company was estimated to be worth , ahead of
Electronic Arts, which was valued at .
Post-merger developments (2009–present)
Activision Publishing remains a subsidiary of Activision Blizzard following the merger, and is responsible for developing, producing, and distributing games from its internal and subsidiary studios. Eric Hirshberg was announced as Activision Publishing's CEO in 2010.
Activision Publishing established
Sledgehammer Games in November 2009. Formed earlier in 2009 by
Glen Schofield and
Michael Condrey
Michael Condrey is the co-founder and former studio head of Sledgehammer Games, which he founded with Glen Schofield after their collaboration on the popular video game franchise ''Dead Space''. He is now the president of 31st Union, a 2K stud ...
, former
Visceral Games
Visceral Games (formerly EA Redwood Shores) was an American video game developer studio owned by Electronic Arts. The studio is known for the ''Dead Space'' series.
History EA Redwood Shores (1998–2009)
In 1998, Electronic Arts (EA) moved fr ...
leads that had worked on ''
Dead Space
''Dead Space'' is a science fiction/horror fiction, horror media franchise created by Glen Schofield and Michael Condrey, developed by Visceral Games, and published and owned by Electronic Arts. The franchise's chronology is not presented in a lin ...
'', Sledgehammer intended to develop a ''Call of Duty'' spin-off title fashioned after the gameplay in ''Dead Space''. However, in early 2010,
legal issues between Infinity Ward and Activision Blizzard led to several members of Infinity Ward leaving, and Activision assigned Sledgehammer to assist Infinity Ward in the next major ''Call of Duty'' title, ''
Modern Warfare 3''. Since then, Sledgehammer, Infinity Ward, and Treyarch share development duties for the flagship series, with support from Raven and other studios as necessary.
In February 2010, Activision Blizzard reported significant losses in revenue stemming from a slow down in ''Guitar Hero'' sales and from its more casual games. Subsequently, Activision Publishing shuttered Red Octane,
Luxoflux and
Underground Development
Underground Development, Ltd. (formerly Z-Axis, Ltd.) was an American video game developer based in Foster City, California. The company was founded in 1994 by David Luntz and sold to Activision in May 2002. Following a rebranding to Undergroun ...
as well as laid off about 25% of the staff at Neversoft.
Within the same year, Activision shuttered
Budcat Creations
Budcat Creations, LLC was an American video game developer based in Iowa City, Iowa, United States and was a wholly owned subsidiary of Activision, though they formerly had partnerships with Electronic Arts and Majesco Entertainment. They were la ...
in November 2010, and
Bizarre Creations in February 2011.
Hirshberg left the CEO position in March 2018.
Into the 2020s, Activision put more focus on the ''Call of Duty'' franchise, including the release of the free-to-play ''
Call of Duty: Warzone'' in 2020. By April 2021, the company had assigned all of its internal studios to work on some part of the ''Call of Duty'' franchise. This includes a new studio, Activision Mobile, devoted to the ''
Call of Duty Mobile
''Call of Duty: Mobile'' is a free-to-play shooter game developed by TiMi Studio Group and published by Activision for Android and iOS. It was released on October 1, 2019, where it was one of the largest mobile game launches in history, generat ...
'' title as reported in August 2021.
Studios
* Activision Shanghai Studio in
Shanghai,
China
China, officially the People's Republic of China (PRC), is a country in East Asia. It is the world's most populous country, with a population exceeding 1.4 billion, slightly ahead of India. China spans the equivalent of five time zones and ...
, founded in 2009.
*
Beenox in
Québec City,
Québec
Quebec ( ; )According to the Government of Canada, Canadian government, ''Québec'' (with the acute accent) is the official name in Canadian French and ''Quebec'' (without the accent) is the province's official name in Canadian English is ...
, Canada, founded in May 2000, acquired on May 25, 2005.
*
Demonware in both
Dublin, Republic of Ireland
Dublin (; , or ) is the capital and largest city of Ireland. On a bay at the mouth of the River Liffey, it is in the province of Leinster, bordered on the south by the Dublin Mountains, a part of the Wicklow Mountains range. At the 2016 cen ...
and
Vancouver, British Columbia, Canada, founded in 2003, acquired in May 2007.
* Digital Legends Entertainment in
Barcelona,
Spain, founded in May 2001, acquired on October 28, 2021.
*
High Moon Studios in
Carlsbad, California
Carlsbad is a coastal city in the North County region of San Diego County, California, United States. The city is south of downtown Los Angeles and north of downtown San Diego. As of the 2020 census, the population of the city was 114,746. ...
, founded as
Sammy Corporation in April 2001, acquired by
Vivendi Games in January 2006.
*
Infinity Ward
Infinity Ward, Inc. is an American video game developer. They developed the video game ''Call of Duty'', along with seven other installments in the ''Call of Duty'' series. Vince Zampella, Grant Collier, and Jason West established Infinity Ward ...
in
Woodland Hills, California, founded in 2002, acquired in October 2003.
*
Radical Entertainment in
Vancouver, British Columbia, Canada, founded in 1991, acquired by
Vivendi Games in 2005, laid off most staff in 2012.
*
Raven Software in
Madison, Wisconsin, founded in 1990, acquired in 1997.
*
Sledgehammer Games in
Foster City, California, founded on July 21, 2009.
* Solid State Studios in
Santa Monica, California, founded in 2021.
*
Toys for Bob in
Novato, California, founded in 1989, acquired on May 3, 2005.
*
Treyarch in
Santa Monica, California, founded in 1996, acquired in 2001.
Former studios
* 7 Studios in
Los Angeles, California, founded in 1999, acquired in April 2009, closed in February 2011.
* Beachhead Studio in
Santa Monica, California, founded in February 2011.
*
Bizarre Creations in
Liverpool, England, founded as Raising Hell Productions in 1987 and changed name in 1994, acquired on September 26, 2007, closed on February 18, 2011.
*
Budcat Creations
Budcat Creations, LLC was an American video game developer based in Iowa City, Iowa, United States and was a wholly owned subsidiary of Activision, though they formerly had partnerships with Electronic Arts and Majesco Entertainment. They were la ...
in
Iowa City, Iowa, founded in September 2000, acquired on November 10, 2008, closed in November 2010.
*
FreeStyleGames in
Leamington Spa
Royal Leamington Spa, commonly known as Leamington Spa or simply Leamington (), is a spa town and civil parish in Warwickshire, England. Originally a small village called Leamington Priors, it grew into a spa town in the 18th century following ...
,
Warwickshire, United Kingdom, founded in 2002, acquired on September 12, 2008, sold to
Ubisoft on January 18, 2017, subsequently renamed Ubisoft Leamington.
*
Gray Matter Studios
Gray Matter Interactive Studios, Inc. (Gray Matter Studios; formerly Xatrix Entertainment, Inc.) was an American video game developer based in Los Angeles.
History
Drew Markham and his business partner Barry Dempsey founded Xatrix Entertain ...
in
Los Angeles, California, founded in the 1990s as Xatrix Entertainment, acquired in January 2002, merged into Treyarch in 2005.
*
Infocom
Infocom was an American software company based in Cambridge, Massachusetts, that produced numerous works of interactive fiction. They also produced a business application, a relational database called ''Cornerstone (software), Cornerstone''.
...
in
Cambridge, Massachusetts, founded on June 22, 1979, acquired in 1986, closed in 1989.
*
Luxoflux in
Santa Monica, California, founded in January 1997, acquired in October 2002, closed on February 11, 2010.
*
Massive Entertainment in
Malmö, Sweden, founded in 1997, acquired by
Vivendi Universal Games
Vivendi Games was an American video game publisher and holding company based in Los Angeles. It was founded in 1996 as CUC Software, the publishing subsidiary of CUC International, after the latter acquired video game companies Davidson & Associ ...
in 2002, sold to
Ubisoft on November 10, 2008.
*
Neversoft in
Los Angeles, California, founded in July 1994, acquired in October 1999, merged into Infinity Ward on May 3, 2014 and was officially made defunct on July 10, 2014.
*
RedOctane in
Mountain View, California, founded in November 2005, acquired in 2006, closed on February 11, 2010.
*
Shaba Games
Shaba Games LLC was an American video game developer founded in September 1997. It was located in San Francisco, California. Initially it was a nine-person development team, with the founders having split off from Crystal Dynamics, more specifica ...
in
San Francisco, California, founded in September 1997, acquired in 2002, and closed on October 8, 2009.
*
Swordfish Studios
Swordfish Studios Limited was a British video game developer based in Birmingham founded by Trevor Williams and Joan Finnegan (wife of Paul Finnegan, former managing director of Rage Software Limited) in September 2002.
Games developed by the co ...
in
Birmingham, England, founded in September 2002, acquired by
Vivendi Universal Games
Vivendi Games was an American video game publisher and holding company based in Los Angeles. It was founded in 1996 as CUC Software, the publishing subsidiary of CUC International, after the latter acquired video game companies Davidson & Associ ...
in June 2005, sold to
Codemasters on November 14, 2008.
* The Blast Furnace in
Leeds, United Kingdom, founded in November 2011 as Activision Leeds, changed rename in August 2012, closed in March 2014.
*
Underground Development
Underground Development, Ltd. (formerly Z-Axis, Ltd.) was an American video game developer based in Foster City, California. The company was founded in 1994 by David Luntz and sold to Activision in May 2002. Following a rebranding to Undergroun ...
in
Redwood Shores, California
Redwood Shores is a waterfront community in Redwood City, California, along the western shore of San Francisco Bay on the San Francisco Peninsula in San Mateo County. Redwood Shores is the home of several major technology companies, including Ora ...
, founded as Z-Axis in 1994, acquired in May 2002, closed on February 11, 2010.
*
Vicarious Visions in
Menands, New York, founded in 1990, acquired in January 2005, moved to
Blizzard Entertainment in January 2021.
It was renamed to Blizzard Albany on April 12, 2022.
*
Wanako Games
Behaviour Interactive Chile Ltda. (Behaviour Santiago; formerly Wanako Games Chile Ltda.) was a Chilean video game developer based in Santiago. The company was founded as Wanako Games in 2002, by Esteban Sosnik, Tiburcio de la Cárcova, Santia ...
in
Santiago, Chile
Santiago (, ; ), also known as Santiago de Chile, is the capital (political), capital and largest city of Chile as well as one of the largest cities in the Americas. It is the center of Chile's most densely populated Regions of Chile, region, t ...
, founded in 2005, acquired by
Vivendi Games on February 20, 2007, sold to
Artificial Mind and Movement on November 20, 2008.
Notable games published
1980s
* ''
Fishing Derby
''Fishing Derby'' is a fishing video game written by David Crane for the Atari Video Computer System (renamed to the Atari 2600 in 1982) and published by Activision in 1980. It's one of the first video games developed by Activision.
Gameplay
...
'' (1980)
* ''
Boxing'' (1980)
* ''
Skiing'' (1980)
* ''
Freeway'' (1981)
* ''
Ice Hockey'' (1981)
* ''
Kaboom! KaBoom! may refer to:
*KaBOOM! (non-profit organization)
* KaBOOM! (publisher), an imprint of the U.S. comics publisher Boom! Studios
See also
*Kaboom (disambiguation)
Kaboom is an onomatopoeic term representing the sound of an explosion. It may ...
'' (1981)
* ''
Stampede'' (1981)
* ''
Laser Blast
''Laser Blast'' is a single-player video game developed and published by Activision in March 1981 for the Atari VCS console (renamed to Atari 2600 in 1982). Designed by David Crane, one of Activision's co-founders, ''Laser Blast'' places player ...
'' (1981)
* ''
Tennis'' (1981)
* ''
Megamania
''Megamania'' is an Atari 2600 game by Steve Cartwright and published by Activision in 1982. Versions were released for the Atari 5200 and Atari 8-bit family in 1983. ''Megamania'' is similar to Sega's 1981 arcade title ''Astro Blaster''. Both ...
'' (1982)
* ''
Barnstorming'' (1982)
* ''
Enduro'' (1982)
* ''
Chopper Command
''Chopper Command'' is a horizontally scrolling shooter released by Activision for the Atari 2600 in June 1982. It was written by Bob Whitehead.
Gameplay
In ''Chopper Command'', the player controls a military helicopter in a desert scenario pr ...
'' (1982)
* ''
Starmaster
''Starmaster'' is a video game written for the Atari 2600 by Alan Miller (game designer), Alan Miller and published in June 1982 by Activision. The game is similar to Atari 8-bit family game ''Star Raiders''. ''Starmaster'' was not ported to ...
'' (1982)
* ''
Pitfall!'' series (1982–2004)
* ''
River Raid'' series (1982–1988)
* ''
Oink!'' (1983)
* ''
Beamrider
''Beamrider'' is a fixed shooter written for the Intellivision by David Rolfe and published by Activision in 1983. The game was ported to the Atari 2600 (with a slightly reduced feature set), Atari 5200, Atari 8-bit family, ColecoVision, Commodor ...
'' (1983)
* ''
Robot Tank'' (1983)
* ''
H.E.R.O.'' (1984)
* ''
Little Computer People'' (1985)
* ''
Portal
Portal often refers to:
* Portal (architecture), an opening in a wall of a building, gate or fortification, or the extremities (ends) of a tunnel
Portal may also refer to:
Arts and entertainment Gaming
* ''Portal'' (series), two video games ...
'' (1986)
* ''
Hacker'' series (1985–1986)
* ''
Shanghai'' series (1986–1990)
* ''
Transformers'' series (1986, 2007–2017)
* ''
The Last Ninja'' series (1987–1988)
* ''
Deathtrack
''DeathTrack'' is a first-person, futuristic racing game developed for MS-DOS by Dynamix and published by Activision in 1989.
Gameplay
There are two ways to win a race: be the first to finish the race, or be the only one to finish the race. Bas ...
'' (1989)
* ''
MechWarrior'' series (1989–1996)
1990s
* ''
Hunter
Hunting is the human activity, human practice of seeking, pursuing, capturing, or killing wildlife or feral animals. The most common reasons for humans to hunt are to harvest food (i.e. meat) and useful animal products (fur/hide (skin), hide, ...
'' (1991)
* ''
Zork'' series (1993–1997)
* ''
Dark Reign'' series (1997–2000)
* ''
Heavy Gear'' series (1997–1999)
* ''
Quake'' series (1997–2007)
* ''
Interstate'' series (1997–1999)
* ''
Battlezone'' series (1998–1999)
* ''
SiN'' (1998)
* ''
Heretic II
''Heretic II'' is a dark fantasy action-adventure game developed by Raven Software and published by Activision in 1998 continuing the story of Corvus, the main character from its predecessor, '' Heretic''. It is the fourth game in the '' Hexen: ...
'' (1998)
* ''
Vigilante 8
''Vigilante 8'' is a vehicular combat video game developed by Luxoflux and published by Activision for PlayStation, Nintendo 64 and Game Boy Color. Although officially it has no connection to the ''Interstate '76'' series, it features several o ...
'' series (1998–2008)
* ''
Tenchu'' series (1998–2004)
* ''
Call to Power'' series (1999–2000)
* ''
Star Trek
''Star Trek'' is an American science fiction media franchise created by Gene Roddenberry, which began with the eponymous 1960s television series and quickly became a worldwide pop-culture phenomenon. The franchise has expanded into vari ...
'' series (1999–2003)
* ''
Tony Hawk's
''Tony Hawk's'' is a skateboarding video game series published by Activision and endorsed by the American professional skateboarder of the same name. The series was primarily developed for home consoles by Neversoft from launch to 2007, until ...
'' series (1999–2015, 2020)
2000s
* ''
Soldier of Fortune'' series (2000–2007)
*
''X-Men'' series (2000–2011)
* ''
Spider-Man
Spider-Man is a superhero appearing in American comic books published by Marvel Comics. Created by writer-editor Stan Lee and artist Steve Ditko, he first appeared in the anthology comic book '' Amazing Fantasy'' #15 (August 1962) in the ...
'' series (2000–2014)
* ''
Lost Kingdoms
''Lost Kingdoms'' is a 2002 action role-playing game developed by FromSoftware and published by Activision. The game was released in Japan in April; in North America in May; and in Europe in August. ''Lost Kingdoms'' is a card-based action rol ...
'' series (2002–2003)
* ''
Total War'' series (2002–2004)
* ''
Call of Duty
''Call of Duty'' is a first-person shooter video game Media franchise, franchise published by Activision. Starting out in 2003, it first focused on games set in World War II. Over time, the series has seen games set in the midst of the Cold W ...
'' series (2003–present)
* ''
True Crime'' series (2003–2005)
* ''
Wolfenstein
''Wolfenstein'' is a series of World War II video games originally developed by Muse Software. The majority of the games follow William "B.J." Blazkowicz, an American Army captain and his fight against the Axis powers. Earlier titles are center ...
'' series (2003–2009)
* ''
Shrek'' series (2004-2011)
* ''
Doom 3'' (2004)
* ''
Madagascar'' series (2005-2011)
* ''
The Movies'' (2005)
* ''
Gun'' (2005)
* ''
Guitar Hero'' series (2006–2015)
* ''
Marvel: Ultimate Alliance'' series (2006–2009)
* ''
James Bond'' series (2008–2012)
* ''
Crash Bandicoot series'' (2008–present)
* ''
Spyro the Dragon
''Spyro the Dragon'' is a platform game developed by Insomniac Games and published by Sony Computer Entertainment for the PlayStation on September 9, 1998. The first game in the ''Spyro'' series, it stars the title character, a young purple dr ...
series'' (2008–2018)
* ''
Prototype
A prototype is an early sample, model, or release of a product built to test a concept or process. It is a term used in a variety of contexts, including semantics, design, electronics, and Software prototyping, software programming. A prototyp ...
'' series (2009–2015)
2010s
* ''
Blur'' (2010)
* ''
Singularity'' (2010)
* ''
NASCAR The Game
''NASCAR The Game'', occasionally abbreviated as ''NTG'', is a discontinued series of NASCAR video games developed by Eutechnyx, which held the NASCAR license from 2011 to the end of 2014. The first installment, '' NASCAR The Game: 2011'', is the ...
'' series (2011–2013)
* ''
Skylanders'' series (2011–2018)
* ''
SpongeBob SquarePants'' series (2013–2015)
* ''
Teenage Mutant Ninja Turtles'' series (2013–2016)
* ''
Destiny'' series (2014–2018)
* ''
Sekiro: Shadows Die Twice'' (2019)
See also
*
List of video game companies
The following lists of video game companies are available:
* List of video game developers
* List of video game publishers
* List of indie game developers
{{list of lists, video game , listcat=Video game companies
Lists of companies by industry, ...
References
External links
*
{{Star Trek video games
1979 establishments in California
American brands
American companies established in 1979
Companies based in Santa Monica, California
Former Vivendi subsidiaries
Video game companies based in California
Video game companies established in 1979
Video game companies of the United States
Video game development companies
Video game publishers