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Activision: Revenues For WoW & CoD Are Declining

The financial results for Activision’s second quarter this year reveal a decline in revenue for their two major flagship titles: Call of Duty and World of Warcraft.

Taking into consideration the change in currency rate, the over all decline in revenue is 6.2%

It’s no news that MMO king World of Warcraft has been loosing subscribers over the years. Once at 12 million, it’s now down to 9 million subscribers and the amount of new players is very low. Even with the recent Cataclysm expansion a major portion of it’s lost population didn’t return to play the game. They hope to bring in at least a million more subscribers with the new Mists of Pandaria expansion along with some other new features.

It’s surprising to know that revenue from Call of Duty’s digital offerings and catalog are lower than last year as well. I mean it’s Call of Duty we’re talking about, who doesnt play that or knows about it? Perhaps this is a good sign for Activision to up their game. Rather than bringing us the same product over and over again, it’s time for something new.

Activision has stated that it believes their upcoming titles (Mists of Pandaria, Skylanders Giants and Black Ops II) are strong enough to bump their EBITA (earnings before interest, taxes and amortization) from €750 to €800 for the financial year.