×
You will be redirected back to your article in seconds

Activision Blizzard Stock Plummets Following Break With ‘Destiny’ Developer

Activision Blizzard stock continued its plummet Friday morning following news Thursday night that Bungie was ending its contract with the publisher and retaining the rights to its “Bungie” franchise.

Stock fell nearly 7% in postmarket trading Thursday night and continued to drop Friday morning, down about 12% as of this writing.

It’s unclear why the two companies terminated their ten-year contract early, but a joint statement released Thursday made it seem as if the separation was amicable.

“We have enjoyed a successful eight-year run and would like to thank Activision for their partnership on Destiny,” Bungie wrote in a post on its site Thursday. “Looking ahead, we’re excited to announce plans for Activision to transfer publishing rights for Destiny to Bungie. With our remarkable Destiny community, we are ready to publish on our own, while Activision will increase their focus on owned IP projects.”

In the joint statement released by Activision and Bungie Thursday, the companies also said that going forward Bungie will own and develop the franchise, and Activision will “increase its focus on owned IP and other projects.

Currently, Activision is known to be working on a new Call of Duty title, “Crash Bandicoot N. Sane Trilogy,” and “Crash Team Racing: Nitro-Fueled.” Blizzard continues support for a slew of its biggest titles including “Overwatch,” “Hearthstone,” and the “World of Warcraft,” “StarCraft,” and “Diablo” franchises. King is actively supporting “Legend of Solgard” and “Candy Crush Friends Saga.” Activision Blizzard is also acting as publisher for FromSoftware-developed “Sekiro: Shadows Die Twice.” The company also has extensive interest in esports through a number of its franchises, most notably “Overwatch” and “Call of Duty.”

The original “Destiny” was developed by Bungie and published by Activision as part of a ten-year agreement between the two companies. Development on the game started in 2010. The original title was released in 2014, the sequel, “Destiny 2,” was released in 2017.

In announcing the “Destiny” news Thursday, Bungie noted that the game industry was in a pretty different place when the two companies first launched their partnership in 2010.

Thursday’s news came in the midst of an executive shuffle at Activision Blizzard that saw the departure of two executives and the company naming new heads for Activision, Blizzard, and King.

More Gaming

  • Spaces Terminatro VR Experience Goes Live

    Comcast-Backed Spaces Launches San Jose Location With 'Terminator' VR Experience

    Comcast-backed virtual reality startup Spaces is getting ready to open its second California location in San Jose next month: The company has teamed up with Cinemark to open a new VR center at the Century 20 Oakridge and XD theatre in San Jose on February 8. The new Cinemark Spaces center will open with “Fight for [...]

  • 'Farming Simulator' Esports League Promises Big

    'Farming Simulator' Esports League Promises Big Prizes, New Game Mode

    “Farming Simulator” is getting its own esports league and a new competitive game mode to match, according to an announcement made Wednesday via the game’s official website. The decision to make an esports league around the farming game comes after the “Farming Simulator” Championship’s first season was held in 2018. The Championship will become a [...]

  • PS Now Coming to New European

    PS Now Coming to New European Territories Later This Year

    Sony is rolling out PlayStation Now service to new territories across Europe later this year, it announced on the European PlayStation Blog on Wednesday. Gamers in Spain, Italy, Portugal, Norway, Denmark, Finland, and Sweden will soon get access to over 600 PS4, PS3, and PS2 titles. Sony will confirm launch dates for those regions soon, [...]

  • Crackle - To Win it All

    Sony Crackle Nabs 'Rainbow Six Siege' Esports Documentary Streaming Rights

    Sony Crackle has secured exclusive streaming rights to Ubisoft’s esports documentary “To Win it All: The Road to The Six Invitational,” following three pro players of “Tom Clancy’s Rainbow Six Siege” shooter as they head to the title’s biggest tournament of the year. The free streaming network is slated to bow the documentary Friday, Jan. [...]

  • 'Far Cry New Dawn' Struggles to

    'Far Cry New Dawn' Struggles to Find Itself

    “Far Cry New Dawn” feels like a playable identity crisis. The almost ironic neon blooms of setting, the scavenger hunt narrative, the familiarity of core play offset by tweaks in the formula all result in an experience that seems to struggle to find itself, a game caught mid-transformation. Perhaps it’s unfair to cast so large [...]

  • Crytek And SpatialOS Developer Improbable Team

    Crytek And SpatialOS Developer Improbable Team Up for AAA Project

    German game studio Crytek is partnering with technology company Improbable on an unannounced AAA project, it revealed in a blog post on Wednesday. The new game will use Crytek’s game engine, called CryEngine, and Improbable’s SpatialOS, a cloud platform for real-time multiplayer games. Crytek said it will give more details about the project soon. The [...]

  • Day of the Devs: GDC Edition

    Day of the Devs: GDC Edition Issues Call for Submissions

    Day of the Devs is returning to the Game Developers Conference this year, and needs submissions of independent games for consideration, according to a Tuesday press release. For the 2019 Game Developers Conference (GDC), Day of the Devs will showcase selected indie titles on the showfloor and at the Alamo Drafthouse. Double Fine Productions and [...]

More From Our Brands

Access exclusive content