[UPDATE] Activision 'might have to stop supporting Sony'

  • Posted June 19th, 2009 at 16:16 EDT by Mike Harradence
  • 8,746 views
  • 113 Comments

UPDATE:

Sony Europe has since commented: “We respect our third-parties’ opinions and their right to express those opinions but we will not be commenting on this story."

Meanwhile, Wedbush Morgan analyst Michael Pachter also chipped in, accusing Kotick of 'bluffing.' “Of course Bobby’s bluffing, and good for him,” he said in a phone interview.

“I think Bobby’s obviously interested in Sony selling as many PS3s as they possibly can, and he’s not happy with their penetration so far. I think he favours a price cut, and would rather see one sooner than later.”

ORIGINAL STORY:

Activision Blizzard bigwig Bobby Kotick has warned that Sony risks losing support of the mega publisher unless it decides to issue a price cut for the PlayStation 3.

“They have to cut the price, because if they don’t, the attach rates [the number of games each console owner buys] are likely to slow. If we are being realistic, we might have to stop supporting Sony,” Kotick told the Times Online.

When prompted as to when the firm may consider dropping support for Sony, the executive added: “When we look at 2010 and 2011, we might want to consider if we support the console — and the PSP [portable] too.”

“Games generate a better return on invested capital on the Xbox than on the PlayStation,” he said.

Kotick went on to say that his company forked out $500 million to Sony in royalties and other goods back in 2008, which he said “probably still worked out at 400 percent of the profit they made”.

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What are your thoughts?

  1. higgos22

    • 1:32pm BST - June 19th, 2009

    radgamer i trust ull make an aperance on this thread

    and i really hope ps3 has succes of ps1 or weven ps2

    so this guy is gonna have to eat his words if it happens

  2. Son_of_Arda

    • 1:33pm BST - June 19th, 2009

    One Pound of Middle Cut Pork Leg Joint!

  3. Sufi

    • 1:33pm BST - June 19th, 2009

    Strong words...but who doesn't expect a price cut by the end of this year? 2010 is far away.

  4. AaronSOLDIER | AaronSOLDIER

    • 1:38pm BST - June 19th, 2009

     radgamer is banned for a month...

     

    And this sucks, but I can live without Guitar Hero and Call of Duty (if COD is affected)

  5. higgos22

    • 1:39pm BST - June 19th, 2009

    sweet no ore radgamer

    and well to be honest i only play exclusives and already got a guitar hero my brother bought so i would be sweet

  6. andysw

    • 1:40pm BST - June 19th, 2009

    This wouldn't have happened if micro$oft hadn't ignored the xbox 360's reliability and release the console a year earlier. Even if the console did get released at the same time as the wii and the playstation 3 as it should have, what difference does it make in terms of playstation 3 sales?

  7. O_G_H

    • 1:41pm BST - June 19th, 2009

    Still think microsoft pays for everything?

    On another note, the price drop will be coming now.  I always wondered what would happen if a heavy-hitting 3rd party ever did something like this (my bet was EA threatening to make Madden an x360 exclusive).  I knew this day would come.  Sony will drop the price now (you guys know I though...and knew...they had no intention of dropping it before).

  8. supamariobrotha | supamariobrotha

    • 1:41pm BST - June 19th, 2009

    they can't try to make this the reason  why sony cuts the price if so then to h3ll with blizzard

  9. bilbo_bobbins | bilbo_bobbins

    • 1:42pm BST - June 19th, 2009

    activision are a bunch of tw@ts anyway. who cares, not me and I am sure Sony don't care either.  Personally I think KZ2 is better than COD

  10. masonmcglasson

    • 1:42pm BST - June 19th, 2009

     Stop supporting Sony would be their biggest mistake lmfao.  PS3 has a WW install base of around 23million and 360 has a install base of around 29million?  You think 360 really has that big of a lead?  Look at PS2 the number one selling console ever.  If Sony dropped its way better equipment to the price of the 360... It would triple the 360's sales.

  11. O_G_H

    • 1:44pm BST - June 19th, 2009

    They are strong arming Sony.  It sucks, but it's business.

  12. Kostchtchie

    • 1:52pm BST - June 19th, 2009

    bye activision, close the door on way out as there are plenty more developers out there and i hope sony waves good bye to you also as i get sick companys and media strong arming sony to drop there price, its there console they can sell it at whatever price they choose, just because 360 has mcdonald take away price on there console does not mean sony need to

     

  13. Stevie | XxSteviexX

    • 1:54pm BST - June 19th, 2009

    Oh dear, no more COD. What shall we do without it.

  14. PS3-The Ultimate Machine

    • 2:02pm BST - June 19th, 2009

     Activision can go and **** themselvesfor all i care,just a bunch of loser un imaginative ******* work there,i mean their biggest title this year is *surprize* another dam ned fps no thanks Activision industry's biggest @ - holes.

  15. Sieghardt | Zieghardt

    • 2:03pm BST - June 19th, 2009

    This idiotic statement made their stock drop 1.18% costing them over a billion dollars.

     

    Great move guys

  16. Son_of_Arda

    • 2:06pm BST - June 19th, 2009

    @15

    Haha, I believe they just got wanked over.

  17. losganados | losganados

    • 2:13pm BST - June 19th, 2009

    I would tell them to f u c k off!

  18. Stef Nighthawk

    • 2:15pm BST - June 19th, 2009

    Is this really about lowering the price of the console or is it about lowering the price for the royalties Activision has to fork over?

    Me thinks they will stop complaining if the PS3 remains the same price but Activsion has less royalties to pay.

    Or Sony could also call their bluff as it would alienate 20+million users.

  19. Morganator | Hero_Nakamoura

    • 2:17pm BST - June 19th, 2009

    Good riddence!  Activision doesn't really make anything I have reason to be excited over anyway.  They're just another Midway look alike to me.  Be gone Activision!  You haven't made anything to top the quality of Killzone 2, Gran Tourismo 5: Prologue (and GT5) or anything made by Sony for that matter.  Grid and COD are **** in my book!

  20. O_G_H

    • 2:20pm BST - June 19th, 2009

    Come on guys.  COD is not crap.  That's a high-quality game.  Be real.

  21. mickice

    • 2:25pm BST - June 19th, 2009

    Sales mean nothing, I bet the PS3 generates moore sales than the Wii and look at it's install base. Cry me a river Activision.

  22. Analyzer

    • 2:25pm BST - June 19th, 2009

    That is one of the dumbest statements I ever heard a CEO make. Forr Someone of his level to threaten  a company like SONY that has helped them make Billions over the last 3 generations is extremely immature.

    What an IDIOT.

     

  23. gruddy

    • 2:28pm BST - June 19th, 2009

    Good to hear @15

    Oh noes! No more Spiderman games? No more Transformer games? No more Tony Hawk?

    Pffft. I have no activison game and I don't care for one. It's all business I guess. 

  24. Cloudie

    • 2:29pm BST - June 19th, 2009

    Hmm...I can see where he's coming from on the business side of the equation and the recession isn't helping either  but I call this mostly BS.

    For the first quarter '09  Ubisoft,( 15% of sales were for 360 and PS3)  Namco ( Playstation 3 - 3.273, Playstation 2 – 4.630 million units sold,PSP – 4.202 million units sold ,Xbox 360 – 2.704 million units sold) .

    Sales of MGS4 boosted Konami's profits for 2 quarters on a system that was the highest priced and boosted the sales of the PS3 over the 360 for 2 months.

    I think they need to stop milking the GH franchise. They're releasing the same game every 3 months ,almost, at full price just with different songs. Why not just make those songs downloadable?

  25. b3mike

    • 2:31pm BST - June 19th, 2009

    Honestly who cares? The last Activision game I bought was SpiderMan 3 for the ps2 for $20.00 lol

     

    Most Ps3 owners like variety, not just recycled first person shooters and Guitar hero

     

    By the way guys GT5 prologue is going for $9.98 clearanced at Target. Rachet & Clank Future is $14.98, black label and no crappy red greatest hits case. Best get them before they are gone and replaced with the greatest hits reprints priced at $29.99!

  26. GranTurismoOwnsPs3

    • 2:33pm BST - June 19th, 2009

    Who cares when we have so many amazing exclusive game's ? These developers can go bankrupt for all i care.

  27. FireSol | FireSol(EU)/FireSolus(US)

    • 2:34pm BST - June 19th, 2009

     sad that Id and some other good developers work with such idiots

    i understand, that is business and nothing personal, but if they ignore ps3, their profit goes down

    they want more money and they began use durty tricks, well its their choice

    but i really want to see how sony's response on that

  28. mcav | mcav

    • 2:38pm BST - June 19th, 2009

    Oh come on - why do you think Activision have REALLY said this?  Look at the software sales... They made their money on the PS3 sales...

    Away you go, Activision.  Don't make Guitar Hero or COD for us.... we're all so upset that we won't have your games to play.......[/sarc]

    I'll just have to put up with ordinary games like Last guardian, Uncharted 2 and the like.

     

     

  29. lordAlucard | Sympozium_666

    • 2:39pm BST - June 19th, 2009

    Thank god it wouldn't happen if Guitar Hero was soo expensive like do really need a game that doesn't support compatibility of previous GH series downloads

  30. draculaboy | draculaboy99

    • 2:40pm BST - June 19th, 2009

    the only game that I cared about is Brutal Legend

    and EA have that now

    so I don't care about them

  31. jimmy303

    • 2:41pm BST - June 19th, 2009

    wel then i just have to stop supporting blizz fuc¤#ng whores ripping millions of people off every moth hows that blizz thats not a rippoff? cu¤ts

  32. sony1978a | Aked

    • 2:45pm BST - June 19th, 2009

    this guy SUX but he has a good point.

    SONY needs a price cut and they need it righte now.

    And i still belive sony will out sell xbot360 and wii AT THE ED OF  THA TUNNLE.

  33. se7enthsign | Se7enthSign

    • 2:55pm BST - June 19th, 2009

    Sounds like an empty threat, but I think it will still be effective. It doesn't make sense that you can get an Xbox 360 AND a Wii for almost the same price as a PS3. I remember when the selling point for PS3 was that it was the cheapest Blu Ray player on the market. Now you can find stand alone blu ray players under 150, but a PS3 is still 400 bucks.

  34. liquidus118 | liquidus118

    • 3:04pm BST - June 19th, 2009

    Wow, if that meant no more CoD on PS3 then everyone in my school would instantly sell there PS3's and call it the worst console ever, haha.

    No biggie for me, if they want to stop making PS3 games then thats there loss of money.

    But if they really weren' t going to out CoD on PS3 they'd be complete idiots, the amount of money that game makes must be insane amounts

  35. andysw

    • 3:05pm BST - June 19th, 2009

    We must be coming into the age of stupidity of gamer culture.

  36. DSeco

    • 3:08pm BST - June 19th, 2009

    I think Blizzards Bobby has not done his math. To be honest, are 20 million PS3 gamers and another 50 million PSP gamers not good enough for Blizzard?

     

  37. ORiGO-GAMES

    • 3:10pm BST - June 19th, 2009

    I have a high respect for Activision, but I honestly have to step up and say... Give me a break... I agree Activision does make up for all that money for Sony, but the main issue is Activision does not develop ANY exclusives for the platform, only cross platform titles.

    So the main reason Activision wants them to drop their price, is so that the install base is the same as 360 or greater. Which in turn just makes it easier to sell your cross platform titles............. My Advice is:

    Make more exclusives!

    Make sure they are GOOD!

    Make fans happy.

    -Adam McClard
    ORiGO GAMES LTD
     

  38. NeauxFear | Shadeaux

    • 3:10pm BST - June 19th, 2009

    Stupid statements can cause your company to suffer Bobby.

  39. PS3fan78

    • 3:11pm BST - June 19th, 2009

    SHT heads anyway,  COD world war suck ass, The only game they have thats good is COD4 so shut youre hole Activision,  PS3 will sell more,  I will make sure that is does, some how, even if it means wasting my time writing emails to every CELEBRITY, that can sponser PS3.  this is brownmouse in PS3 id.

    PS I will get my IDEA out there some how!

  40. tbone8546 | Tbone8546

    • 3:12pm BST - June 19th, 2009

    Activisions retarded.. I'd have to think dropping sony would loose them so much money..

  41. ledzeppelin23 | osufan21

    • 3:13pm BST - June 19th, 2009

    I laugh at activision, they wouldnt do this.

  42. Acezfalcon360

    • 3:15pm BST - June 19th, 2009

    wow thanks for the ultimatum activision

    why dont you go suck it!

  43. sicstar

    • 3:18pm BST - June 19th, 2009

    they cant afford to make games for a console which isnt selling.  its simple.

  44. jcboy | jcboymeat

    • 3:21pm BST - June 19th, 2009

    is'nt this called black - mail?

  45. GunTeng

    • 3:29pm BST - June 19th, 2009

    This sounds stupid. How can attach rates be affected by having less of install base?

    I think what they mean to say is that the install base is too low (in their opinion) to validate the expense of creating products for the PS3. They fear they will not make a profit from releasing on the PS3 & stand to lose.

    This is understandable.

    Maybe with a higher install base, we can start to see some of the games that don't adhere to commercialism. Im personally so sick and tired of all the typical mass market games that are just average in gameplay (FPS for the most part). Granted, SONY are doing well to have the IP's they have...but a greater install base would be a great help.

    But I have to question the politics that cause a dev company to state such things in public. Is it an honest assessment on their behalf or is it propganda to push their own brand? To publicly state sucha  thing, it would appear to me to be self promotion & nothing else.

  46. GOTEM_1S | haitian_jb

    • 3:30pm BST - June 19th, 2009

    WTF hes talking about 360 elite are $399 plus if i want a wireless network adapter i have to get another $99. plus tax  while a $399 ps3  you don't need to get anything elses so who's more expensive bone head??

  47. markwesker

    • 3:42pm BST - June 19th, 2009

    Doesnt even make sence,they will lose money if they do that,they actually get more money from each ps3 version of the game sold,just that 360 version of a game sells more numbers  to make up for it,which is why this is just a idle threat to force sony`s hand.

    I do think a price cut is a little over due tho.

  48. geedoo

    • 3:43pm BST - June 19th, 2009

    cod:waw has sold over 3.30m on the ps3. I dont think thats to shabby. xbox has more users so no wonder it has sold more. but 3.30 mill is still daaamn good for a bad game.

  49. Cdn_Cuda | Cdn_Cuda

    • 3:49pm BST - June 19th, 2009

     Never understood why software developers demand a price cut on a console.  If Blizzard charged less for their games more people would buy them as well.

  50. Bostonmess

    • 3:50pm BST - June 19th, 2009

    At least there's no piracy.

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