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Modern Warfare 2 launch window sees Bobby Kotick
exercise nearly 2 million stock options for $1.99 million--which he
immediately sells for $22.2 million.
Today, Activision basked in the glory that Call of Duty: Modern Warfare 2 had the biggest launch in entertainment history.
November 10 saw the Infinity Ward-developed shooter sell a staggering
4.7 million copies in the US, UK, and Canada, generating $310 million
in just 24 hours. Dollar-wise, that's as much as Grand Theft Auto did worldwide on day one in 2008, and as much as Halo 3 reaped in its first week globally in 2007.
Unsurprisingly, nobody basked more in Modern Warfare 2's success than Activision Blizzard CEO Bobby Kotick. According to a Securities and Exchange Commission filing made today, the outspoken executive used the occasion to exercise nearly 2 million stock options that had vested in 2000--eight years before Activision merged with Vivendi Games to form Activision Blizzard. Kotick took over Activision in 1991, shortly before it filed Chapter 11 bankruptcy.
Given that at the turn of the century Activision was nowhere near being
the world's largest third-party publisher, the strike price for each
share Kotick exercised was a low $1.03. With the new company flying
high on last week's better-than-expected July-September earnings
report, Kotick reaped an impressive windfall by selling nearly 2
million shares at prices between $11.43 and $11.51 per share from
November 9 to November 11.
The result? Minus the nearly $2 million strike price, the executive
cleared nearly $20.2 million in just three days. The figure comes atop
his normal compensation package, which totaled $14.95 million in 2008,
according to Forbes
magazine. Following the sale, Kotick still retained 3,109,729 shares of
Activision Blizzard, which ended trading today at $11.44--making said
shares worth $35,575,300.
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Movie service finally comes down under, along with Facebook and Twitter.
Movies on Demand is a service that has long been available to Xbox 360
owners in the US, but Australian gamers have so far been kept out of
movies on their console loop. That's finally about to change, with the long-awaited Movies on Demand download service for Xbox 360 set to launch in Australia on November 17. The service will come with the next Xbox 360 dashboard update, which will also include a Twitter and Facebook app, allowing users to update and view the two social media sites.

Movies on Demand (MOD) is a video rental service which will feature
more than 100 movies on launch, with Microsoft saying that it would be
updated weekly. Films will be available in either high-definition 1080p
or standard definition. Newly released HD films will set you back 480
Microsoft points, while SD films are half the price at 240 points.
Powered by Microsoft's Smooth Stream Technology, MOD will detect your
Internet connection and stream the highest resolution that your
connection can handle. You aren’t forced to stream just
rentals--there's also the option to download films to your hard drive,
and you'll have 14 days to watch them before the time expires.
Some films confirmed to be available on the Australian service include Warner Bros.' The Dark Knight and Paramount Pictures' Mission Impossible.
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Sony and Naughty Dog's top-rated PS3-exclusive action adventure goes platinum in global sales within one month of launch.
The industry stat-tracking NPD Group is expected to release its October US retail sales report later today, and a handful of analysts
have already gone on record saying that they don't expect the numbers
to be particularly good. However, Electronic Entertainment Design and
Research's Jesse Divnich believes one bright spot was Sony and Naughty
Dog's Uncharted 2: Among Thieves, with the analyst predicting that the
game led US software sales on the month with 600,000 units sold.
That prediction now seems prescient. Speaking at the BMO Capital
Markets 17th Annual Digital Entertainment Conference today, Sony
Computer Entertainment's senior VP of strategic business development,
Phil Rosenberg, confirmed that Uncharted 2 has broached the 1 million
unit mark in global sales through the end of last week. The PlayStation
3 exclusive received glowing critical praise upon its October 13 debut.
"Uncharted 2 has become the highest rated current exclusive action
adventure game on any platform with a Metacritic score of 96," said
Rosenberg. "It's the second highest rated PS3 game ever. We've already
sold over a million copies through last week in just a couple weeks on
the market."
Naughty Dog's latest action adventure comes at a fortuitous
time in the PS3's life cycle. Following Sony's introduction of the PS3
Slim at the $299 price point in late August, Sony said console sales had surged from 2.4 million during the July-September quarter in 2008 to 3.2 million for the same period in 2009.
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Double Fine's heavy metal odyssey doesn't sell out--but does outsell former publisher's massively hyped turntable rhythm game.
Besides seeing another double-digit contraction of the US game
industry, October also saw the launch of two high-profile music-related
games: DJ Hero (October 27) and Brutal Legend (October 13).
The two well-reviewed titles aren't direct competitors: The former is
the first-turntable-based rhythm game from the publisher of Guitar
Hero, the latter a heavy metal-fantasy action/real-time strategy
hybrid. However, their respective publishers did enter into a legal
feud, with Activision suing Electronic Arts in June
to prevent the release of Brutal Legend, which was originally to be
distributed by Vivendi Games. (Vivendi was subsumed as part of the July
2008 Activision Blizzard merger.)
With the legal spat settled out of court
in August, it was unclear which party prevailed. However, it now looks
like EA and developer Double Fine will be having the last laugh.
According to NPD Group sales figures obtained by GameSpot, Brutal
Legend outsold the massively hyped DJ Hero by a nearly 2-to-1 margin in
the US during October.
Released for the PlayStation 3 and Xbox 360, Brutal Legend sold over
215,000 units, compared with DJ Hero's 122,300 units on the 360, PS3,
Wii, and PlayStation 2. The DJ Hero total--which was below even pessimistic analysts' estimates--includes the $200 renegade edition,
which comes with a combination turntable peripheral case and stand. The
regular edition of the game--released two weeks after Brutal
Legend--costs $120, with the PlayStation 2 version bearing a $100
price.
OCTOBER US SALES:
Brutal Legend (360) - 150,000 units
Brutal Legend (PS3) - 66,000 units
DJ Hero (360) - 62,000 units
DJ Hero (PS3) - 39,000 units
DJ Hero (Wii) - 19,000 units
DJ Hero (PS2) - 3,300 units
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Halloween month saw a scary drop to $1.07 billion in
non-PC domestic sales; 2K Sports' basketballer barely beats
Borderlands, Uncharted 2 in combined sales; Wii beats PS3.
After a flat September, US game industry sales posted a double-digit decline last month, according to figures from the NPD Group.
From October 4 to October 31, domestic sales of non-PC game hardware,
software, and accessories totaled $1.07 billion, down 19 percent from
$1.32 billion during the same period the year prior. Despite the
decline, the month was the third-best October recorded by NPD, after
October 2007 and October 2008.
"Based on typical industry seasonality, the industry is on
track to generate full-year revenues in the range of $20-$21 billion in
the US, which would put it just a bit below last year's sales of $21.3
billion," NPD analyst Anita Frazier said, before issuing the following
note of caution. "The continued economic turmoil, and in particular the
troubling unemployment rate, is undoubtedly impacting industry sales.
... If consumers' personal outlook continues to erode, they could very
well be much more conservative with their holiday shopping this year."
"Across all categories, the Xbox 360 platform contributed the
greatest portion of total industry sales, representing 27 percent of
total industry sales for the month," said Frazier, referring to sales
of hardware, software, and accessories for each console. "The PS3 was a
close second at 26 percent, an 8 point improvement over last October."
HARDWARE Hardware saw the biggest drop, sinking 23 percent to
$380.74 million. The top US platform of the month was the newly $199
Wii with 506,900 units sold, followed by the DS with 457,600 units.
Some 320,600 PlayStation 3s were sold, followed by the Xbox 360 with
249,700 units and the PSP with 174,600 units. The PlayStation 2, which
celebrated its ninth birthday in October, sold 117,800 units.
"Year-to-date, the hardware category has experienced the sharpest
decline in the industry, with unit sales down 10 percent compared to
the same time period last year," said Frazier. "Recent price cuts
helped spur a one- to two-month increase in unit sales, and this
month's Wii sales reflect that boost, but the other platforms have not
sustained the sales momentum post price reduction."
SOFTWARE On the software chart, the top game SKU was the
PS3-exclusive Uncharted 2: Among Thieves, which sold 537,000 units.
Behind it was the fitness game remix Wii Fit Plus, which sold 441,000
units--half of which NPD said were sales of the $100 Balance Board
bundle.
In third place with 418,000 units was the 360 edition of Borderlands,
the all-new action-role-playing game IP from 2K Games and Gearbox
software. However, when the game's 113,000 PS3 units and 15,000 PC
units are included, the game's sales total 546,000 units--enough to
barely top Uncharted 2's haul.
Fourth place belonged to Wii Sports Resort, followed by the 360 edition
of NBA 2K10--the PS3 version of which landed in seventh place. However,
all versions of 2K Sports' basketballer--which was also released for
the Wii, PSP, PS2, and PC--combined to sell 575,000 units, making it
October's top overall game.
Coming in sixth on NPD's top 10 was September's number-one game, Halo
3: ODST. Another Microsoft-published 360 exclusive, Forza MotorSport 3,
landed in eighth place, followed by DS returnee Kingdom Hearts 358/2
Days. Bringing up the rear was FIFA Soccer 10, the only version of EA
Sport's soccer series to crack the best-seller list in its debut month.
"The top game for the month across all platforms was NBA 2K10, at
575,000 units," said Frazier. "It was a great launch for the game,
outselling last year's NBA 2K9 by 60 percent in its launch month. Sales
on both the Xbox 360 and PS3 platforms improved substantially over last
year."
Unfortunately, it was the same sad song for the rapidly
shrinking rhythm genre. "The music/dance genre saw big declines this
month compared to last year," explained Frazier. "The genre generated
$53 million in sales as compared to $137 million last year. Both Rock
Band: Beatles and Guitar Hero 5 have the potential to be good gifting
items for the holidays, so we should expect to see an uptick in sales
over the next two months."
US VIDEO GAMES INDUSTRY - OCTOBER 2009 (Oct. 4-31) Hardware: $380.74 million (-23%)
Software: $572.73 million (-18%)
Accessories: $118.88 million (-2%)
Total Games: $1.07 billion (-19%)
TOP-SELLING HARDWARE - OCTOBER 2009
Wii: 506,900
Nintendo DS: 457,600
PlayStation 3: 320,600
Xbox 360: 249,700
PSP: 174,600
PlayStation 2: 117,800
TOP-SELLING SOFTWARE SKUs - OCTOBER 2009 (not combined sales)
Title / Publisher / Units**
1) Uncharted 2: Among Thieves (PS3) / Sony / 537,000
2) Wii Fit Plus (Wii) / Nintendo / 441,000
3) Borderlands (360) / Take-Two / 418,000
4) Wii Sports Resort w/ Wii Motion Plus (Wii) / Nintendo / 314,000
5) NBA 2K10 (360) / Take-Two / 311,000
6) Halo 3: ODST (360) / Microsoft / 271,000
7) NBA 2K10 (PS3) / Take-Two / 213,000
8) Forza Motorsport 3 (360) / Microsoft / 175,000
9) Kingdom Hearts 358/2 Days (DS) / Square Enix / 169,000
10) FIFA Soccer 10 (360) / Electronic Arts / 156,000
** = Figures include Collector's Editions and non-hardware bundles.
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Activision and Infinity Ward's shooter claims largest
entertainment launch crown with $310 million in UK, US, and Canadian
sales; North American day-one sales hit 3.38 million.
For months, Activision has been predicting that Call of Duty: Modern Warfare 2 would be the biggest launch in entertainment history.
So it comes as little surprise today that the Infinity Ward-developed
shooter has indeed broken all previous records for day-one game sales.
According to figures released by Activision, the sequel to Call of Duty 4: Modern Warfare sold over one-third of its forebear's 14 million life-to-date sales
in 24 hours in just three territories. Some 4.7 million units of the
game were sold on November 10 in the US, UK, and Canada, generating
$310 million dollars. By comparison, the biggest US day-one film gross,
The Dark Knight, took in $158.4 million during its July 20, 2008, premiere.
UK sales of 1.32 million units were announced yesterday, and Modern Warfare 2's North American total comes to 3.38 million units. Some analysts predicted that the game would sell as many as 7 million units when other territories are included, although that total now seems a little high.
Modern Warfare 2's UK and NA numbers best Grand Theft Auto IV's global day-one sales of 3.6 million units,
which also generated $310 million in sales--but in all territories
worldwide. Released for the PC, PlayStation 3, and Xbox 360, the new
Call of Duty made more money in one day than Halo 3 did in one week, although Microsoft and Bungie's sci-fi shooter was exclusive to the Xbox 360.
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Activision and Infinity Ward's anticipated military FPS becomes most anticipated game in specialty retailer's history.
Infinity Ward certainly hasn't been skirting controversy in the lead-up
to Call of Duty: Modern Warfare 2's impending November 10 launch. Last
month, the developer received flak from the enthusiast PC community
over its decision to not support player-run, mod-friendly dedicated servers. Shortly thereafter, Infinity Ward raised eyebrows after confirming the authenticity of leaked footage that revealed a controversial sequence in the single-player campaign.
Public-relations headaches they may be, but the gaffes have ostensibly
done nothing to stymie demand for Infinity Ward's latest. Speaking to USA Today,
GameStop executive vice president for merchandising and marketing Tony
Bartel said today that Modern Warfare 2 is the single most preordered
game in the specialty retailer's history.
"By all indicators, we anticipate Call of Duty: Modern Warfare
2 will be the biggest entertainment launch of all time," he said. "As
of today, the number of preorder reservations we've taken for the game
is the highest for any title we've ever sold in our 6,200 store
network." In August, Activision said that Modern Warfare 2 had become the most preordered game in the publisher's history.
Bartel didn't specify which game Modern Warfare 2 eclipsed, though a
likely contender would be Take-Two's Grand Theft Auto IV. The top-rated
action adventure launched in April 2008 to opening-week sales of $500 million,
a figure which Take-Two chairman Strauss Zelnick constituted "the
largest launch in the history of interactive entertainment, and we
believe these retail sales levels surpass any movie or music launch to
date." GameStop had not responded to requests for clarification as of
press time.
GameStop is offering a number of preorder incentives
to go along with Modern Warfare 2's launch. Namely, those who purchase
the game in advance at the specialty retailer can enter to win a number
of prizes inspired by the game, including a Hummer H2, Polaris
snowmobile, and Ducati motorcycle.
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Marvel reveals Sega titles will bookend a busy summer season for interactive adaptations of comic company's films.
"Faster than a speeding bullet" is a relatively common description in
the world of comics, but the wait for Sega's Captain America and Thor
games has been seemingly interminable. Originally announced in April of 2007,
the two games will arrive alongside their movie counterparts in the
summer blockbuster season of 2011, according to Marvel's latest
quarterly financial report.
Thor
will debut in May 2011, giving the golden-haired god of thunder his
first starring game role. The film will be directed by Kenneth Brannagh
(Hamlet, Frankenstein), with Anthony Hopkins (Silence of the Lambs, Nixon) as Odin and Chris Hemsworth (Captain Kirk's father in this year's Star Trek) in the title role.
Captain America will follow his fellow Avenger into theaters and onto
game shelves in July 2011. A cast for the film--currently titled The First Avenger: Captain America--has
not yet been announced. While Thor will be starring in his own game and
movie for the first time, the star-spangled supersoldier has been there
before, albeit not for decades. The much-reviled 1990 film Captain America
was released direct-to-video in the United States, while the following
year's arcade game Captain America and the Avengers fared much better,
spawning ports for the NES, Genesis, and GameBoy, among others.
The summer movie season of 2011 will be a busy one for Marvel comic book movies. In addition to Thor and The First Avenger: Captain America, Marvel has Spider-Man 4
set for launch May 6, 2011. Although a game based on the webbed
wonder's next outing hasn't been officially announced, Activision has
made games based on the previous three Spider-Man movies and has the
rights to the crime-fighter's gaming escapades sewn up until 2017.
Marvel also has an Avengers film scheduled for a summer 2012
release, although it too lacks an officially announced game tie-in.
Sega is a likely candidate to make such a title, as the film would be
the sixth Marvel Studios production, with the Sonic publisher having
handled the gaming tie-ins for the first five (Iron Man and its sequel, The Incredible Hulk, and the Captain America and Thor projects).
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Fab Four's gaming debut helps reverse slumping rhythm game sales, but can't push media empire to revenue growth.
In July, Viacom announced its second quarter results,
lamenting the effect of dramatically slumping rhythm game sales on its
bottom line. Today, the media company behind MTV Networks, BET
Networks, and Paramount Pictures released its third quarter results,
and as expected, the release of The Beatles: Rock Band helped reverse
that trend.
In
a statement accompanying the numbers, Viacom president and CEO Philippe
Dauman touted the game as one of its major successes for the three
months ended September 30, alongside the latest "record-setting"
installment of MTV's Video Music Awards and the continued performance
of Paramount's summer blockbuster Transformers: Revenge of the Fallen.
For the quarter, Viacom's Media Networks division (which includes The
Beatles: Rock Band) posted revenues of just over $2.12 billion,
essentially unchanged from the same quarter the year before.
"Strong sales of The Beatles: Rock Band video game were offset by lower
home entertainment and consumer products revenues, resulting in a 3
percent decrease in worldwide ancillary revenues," the company said.
Besides MTV and MTV Games, Viacom's Media Networks segment
encompasses several television networks and their umbrella
organizations. These include BET, Comedy Central, and Nickelodeon, as
well as cross-media properties, such as the Addicting Games casual game
portal and the Xfire communication and networking service.
Viacom as a whole showed improvement for the quarter. While
revenues were still down 3 percent overall to $3.32 billion, net income
was up 15 percent to $443 million. However, the company's numbers are
still down for the full year. For the nine months ended September 30,
Viacom posted revenues down 8 percent to $9.52 billion, and net income
down 15 percent to $897 million.
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Xbox Live Update: Telltale rolls out final three
episodes in detective adventure series, while DICE's console FPS
mobilizes onto Games on Demand.
More so than any other episodic game developer, Telltale Games has made
good on its promise to deliver bite-sized gaming series on a regular
basis…for the most part. Though the PC edition of Telltale's adventure
series Wallace and Gromit has seen a steady release schedule since the
first episode premiered in March, the Xbox 360 edition of the game has
been in limbo after its maiden installment debuted in May.
However, that changes this Wednesday, as Telltale and Microsoft will be
releasing the three remaining Wallace and Gromit episodes through Xbox
Live Arcade for MSP800 ($10) a piece. All three episodes--The Last
Resort, Muzzled, and The Bogey Man--have been available for the PC
since July. The episodes continue the adventures of the man-and-mutt
detective duo that were created by Nick Park and Aardman Animation.
As for feature-length titles, the Xbox 360's Games on Demand service
picks up EA DICE's Battlefield 2: Modern Combat this week. Having
debuted to positive reviews in 2006, the contemporary military shooter is available for $19.99.
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