Activision Blizzard Inc. (ATVI) Likely To Win Holiday Game Shootout Post Electronic Arts Inc. (EA)’s Delay

Activision Blizzard, Inc. (NASDAQ:ATVI) is likely to have one of their best holiday shopping seasons this year, especially after considering the launch delays of their primary rivals. The company is ready with Destiny game and the latest edition of Call of Duty, which are expected to be the best sellers of the season according to Benchmark Co.’s analyst, Michael Chickey.

Activision (ACTV)

Another important factor propelling the season would be the delay in launch of game from rival companies including Electronic Arts Inc. (NASDAQ:EA) and Take-Two Interactive Software, Inc. (NASDAQ:TTWO). Both of these companies have postponed product release to 2015, as their games need further development.

According to the CEO of Activision Blizzard, Inc. (NASDAQ:ATVI), Bobby Kotick,

“There’s a long history and big audience for Call of Duty. It will likely be the most successful game of 2014. Destiny will also be very successful.”

According to an executive of the company, Destiny has become the most pre-ordered video game title even before its launch. Further, Gamescom, biggest video-game fair of the world, will help the company showcase its games to more than 340,000 visitors.

Activision Blizzard, Inc. (NASDAQ:ATVI) announced its second quarter 2014 results on August 5, 2014 with revenue of $658 million. It is much better than the revenue of $608 million in the same quarter last year. The company has a current market cap of $16.37 billion with over 6,700 employees.

The primary rivals of the company, Electronic Arts Inc. (NASDAQ:EA), might lose some players considering the delays, although the company is trying to lure more customers with services like EA Access. The company reported net income of $335 million for the first quarter of FY14 as compared to the same quarter with $222 million in 2013. Net revenue for the quarter was $775 million and the company is planning to deliver an array of exciting game title in 2015.

 

This article has been written Prakash Pandey and edited by Serkan Unal.

 

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