Catch up on stories from the past week (and beyond) at the Slashdot story archive

 



Forgot your password?
typodupeerror
Check out the new SourceForge HTML5 internet speed test! No Flash necessary and runs on all devices. ×
The Almighty Buck

Submission + - ActivisionBlizzard numbers - WoW providing 30% of the revenue (forbes.com)

sinij writes:

World of Warcraft (WoW) has helped ATVI maintain its stock price, with this one single game providing roughly 30% of the revenue for the entire company via its expansion packs and monthly payments. Subscription revenue alone totaled $1.2 billion both in 2008 and 2009, and an additional $1.36 billion in 2010. Corresponding costs (the overhead cost of maintaining WoW’s virtual world) totaled a mere $404 million in the first two years mentioned, and $241 million in 2010. This means that WoW subscriptions have generated gross margins over 80% consistently. Since WoW has very high operating leverage any decline in revenue will have dramatic effects on the bottom line.

Forbes takes a detailed look into underlying finances of ActivisionBlizzard, and Vivendi's on-going efforts to sell its stake in the company. Diablo3 cash-shop revenues are not mentioned, but this would explain Blizzard's desperation to diversify from WoW subscription revenues.

This discussion was created for logged-in users only, but now has been archived. No new comments can be posted.

ActivisionBlizzard numbers - WoW providing 30% of the revenue

Comments Filter:

Bus error -- please leave by the rear door.

Working...