Microsoft and Activision's New Strategy: Smaller Games, Bigger Reach
Microsoft and Activision have formed a new Blizzard team, primarily composed of King employees, to develop smaller-scale, AA games based on established franchises. This follows Microsoft's 2023 acquisition of Activision Blizzard, granting access to a wealth of popular IPs.
Leveraging King's Mobile Expertise
The new team's focus is on AA titles, offering a lower budget and development scope compared to AAA releases. Given King's success with mobile games like Candy Crush, it's anticipated these new games will target the mobile market. King's past experience with IP-based mobile games, such as the now-discontinued Crash Bandicoot: On the Run!, provides a foundation for this venture. The status of a previously announced Call of Duty mobile game remains uncertain.
Microsoft's Mobile Ambitions
Microsoft's commitment to mobile gaming is clear. Phil Spencer, CEO of Microsoft Gaming, highlighted mobile as a key driver for the Activision Blizzard acquisition, emphasizing the lack of significant mobile capabilities within Xbox prior to the deal. This move extends beyond simply porting existing titles; it represents a strategic push into the mobile gaming market, the world's largest gaming platform. Microsoft is also actively developing its own mobile app store to compete with Apple and Google, aiming for a launch sooner than expected.
Addressing AAA Development Costs
The rising costs of AAA game development are prompting Microsoft to explore alternative approaches. By utilizing smaller, specialized teams, the company aims to experiment with different development models and potentially mitigate some of the financial pressures associated with large-scale projects.
While details remain scarce, fan speculation points towards mobile adaptations of popular franchises like World of Warcraft (similar to Wild Rift) or Overwatch (similar to Apex Legends Mobile or Call of Duty: Mobile) as potential projects for this new team.