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Activision Making More Off Phone Games Than Console And PC

A solider with a rifle stands near a large, brown orc and both are in front of a screenshot of Candy Crush.

picture: Activision / Blizzard / King / Kotaku

Here’s a sign of the times: Activision has confirmed via newly released financial documents that it made more money on its phone games last quarter than it did on all of its console and PC games combined.

As spotted by tweaktown, Activision’s quarterly report was published last week and sheds some light on how its biggest games across PC, console, and mobile are doing financially. And because of games like Devil Immortal, Call of Duty Mobileand Candy Crush Sagathe beleaguered Call of Duty publisher’s making a lot of cash off phone games. In fact, more than half of its total earnings for the second quarter of 2022 came from mobile titles and not console or PC games.

According to the report, about 51 percent of Activision’s total earnings from the Q2 2022 period came from mobile games. That adds up to a total of $831 million in mobile game earnings. Meanwhile, its console games earned around $376 million and PC games brought in a bit less, $332 million. Finally, it made $105 million from events and esports.

What you might not expect, especially if you don’t realize how massive mobile gaming has become over the last decade, is that of the $831 million made off phone games, most of it came from King’s titles and not stuff like Call of Duty Mobile. In the report, Activision says that King titles like candy crush and FarmHeroes brought in over $680 million.

ReadMore: Lawyer To Pay Activision For Not Playing Call Of Duty

What these numbers reveal is that for big publishers like Activision, the future is likely one where it invests even more resources and money into mobile games and focuses less and less on console games. In an era where AAA games are more expensive to make than ever, take years to createand often flop, mobile games have become a lifeline for large game companies looking to keep their heads above water.

For Activision it’s especially important as Call of Duty continues to lose millions of players and underperform. Seeing as the company has spent years focusing much of its energy on Call of Dutyat one point even having every studio it owned working on the franchise in some capacity—it’s likely it will seek to diversify into mobile more, not less, moving forward.

It should also be noted that Activision’s hugely successful mobile games are one of the main reasons Microsoft began the process of buying the company earlier this year following a huge, public fallout after the company was sued over years of sexual harassment and discrimination.

in some way, Call of Duty and warcraft are more like bonuses that Xbox gets top of King and his money-printing games.

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Technology

Lawyer To Pay Activision For Not Playing Call Of Duty

This marine is tting in a chair, staring off-screen at someone in the middle of a conversation.

Uh, say what now?
picture: Infinity Ward

A lawsuit against Activision Blizzard was dismissed last month because, according to a judge in the Southern California District Court where the complaint was brought, the plaintiffs didn’t play enough Call of Duty: Infinite Warfare to make an informed case against the maligned publisher. For eleven in Activision Blizzard’s many contentious legal battlesthings ended smoothly.

According to to report by a litigation associate at the law firm Wilson Sonsini Goodrich & Rosati (who tipped Kotaku off), Activision Blizzard was sued in November 2021 by Brooks Entertainment, Inc., a California-based company specializing in film and TV production and other forms of entertainment. However, Kotaku couldn’t find an official website for the company. Brooks Entertainment and its CEO, Shon Brookswho describes himself as an inventor, claim they hold the trademarks for the financial mobile games Save One Bank and Stock Pickers. It should be noted that Kotaku couldn’t verify the existence of these games, either. Regardlessall three of these entities, alongside Activision Blizzard and 2016’s Infinite Warfarewere at the center of the lawsuit.

In October 2021, Brooks Entertainment alleged Activision ripped off intellectual property from both Save One Bank and stock pickeras well as the identity of its owner, in Infinite Warfare. To be more specific, the complaint asserted the “main character” for the 2016 first-person shooter, Sean Brooks, was based on the company’s CEO and that all three games had “scripted battle scenes that take place in a high fashion couture shopping center mall.” There were other similarities, too, but these claims were the crux of the complaint.

But if you’ve played just an hour or so of Infinite Warfare, you’d know this is all wrong. For one, the main character isn’t Corporal Sean Brooks at all but rather his squadmate CommanderNick Reyes, a space marine who becomes the captain of the game’s primary militia. Moreover, while there is a scripted battle scene in a shopping mall, it takes place in far future Geneva, one of many in-game locations, and Sean Brooks ain’t in it. You play as Reyes the entire time.

In January 2022, Activision’s counsel wrote to Brooks Entertainment’s counsel that the complaint “contain[ed] serious factual misrepresentations and errors, and that the claims set forth therein are both factually and legally frivolous.” If the company didn’t withdraw the lawsuit, Activision would file Rule 11 sanctions, penalties requiring the plaintiff to pay a fine for submitting dubious or improper arguments without substantial—or, for that matter, accurate—evidentiary support. And that’s exactly what happened in March 2022, when Activision filed its motions for sanctions against Brooks Entertainment, saying the plaintiffs failed to play Infinite Warfare and provided inaccurate filings.

The Southern California District Court accepted Activision’s motions on July 12, dismissed Brook Entertainment’s lawsuit with prejudice (meaning the claim cannot be refiled in that court), and ordered the plaintiff’s counsel to compensate the troubled publisher for the money and time it wasted. In its conclusion, the court said the plaintiff failed to conduct a thorough and reasonable inquiry into the relevant facts about the game before filing the suit.

“Call of Duty: Infinite Warfare is a first-person shooter game, not first- and third-person as alleged, and Sean Brooks does not conduct a scripted battle scene in a high fashion couture shopping mall,” the court said in its ruling in favor of Activision. “Plaintiff’s counsel could have easily verified these facts prior to filing the factually baseless Complaint, just as the Court easily verified them within the first hour and a half of playing the game.”

Kotaku reached out to Activision Blizzard for comment.

Richard Hoeg, a lawyer who specializes in digital and video game law, told Kotaku that unprotectable concepts like the names of people used in fictional entertainment are pretty difficult to copyright and claim infringement upon.

“It’s hard to say why the suit was brought up,” Hoeg said. “Certainly if a suit gets kicked out *with sanctions* it wasn’t a very good one in the first place. It might be simply hubris or it may have been counsel encouraging a suit against a well-resourced party. The suit itself says [Brooks Entertainment] pitched a game to Activision between 2010 [and] 2015. That all said, the infringement lawsuit is awful, alleging infringement on such unprotectable concepts as: ‘Shon Brooks navigates through both exotic and action-packed locations and Sean Brooks navigates through both exotic and action-packed locations.’”

Hoeg went on to say it’s hard getting “actual sanctions imposed on you” because that would be a level of bad lawsuit filing well above just a simple dismissal.

“The court basically finds the whole argument crazy,” Hoeg concluded. “Brooks Entertainment even included Rockstar Games for no reason (which didn’t help their cause with the judge). So, the sanctions here are Brooks Entertainment [has] to pay for Activision’s legal fees and costs.”

While things may have ended well for Activision this time, the disparaged publisher is still causing legal headaches. The company was just blasted by Devil devs for union-busting. Again. Ugh.

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