Activision is one of the most successful video game companies in the world, with a long history of producing some of the most popular and successful games of all time. The company was founded in 1979 and has since grown to become a dominant force in the video game industry. In this article, we will explore the strategies that Activision used to achieve this level of success and become the dominant player in the video game market.
Early Years of Activision
Activision was founded by a group of former Atari game developers who wanted more creative control over their work. The company’s early years were characterized by a focus on high-quality game development and a commitment to innovation. In 1982, Activision released Pitfall!, which became one of the most successful video games of all time and helped establish the company as a major player in the industry.
Strategic Partnerships & Takeovers
One of the key strategies that Activision used to dominate the video game market was strategic partnerships. In the early 2000s, the company partnered with Bungie Studios to develop the Halo franchise for Microsoft’s Xbox console. The Halo franchise became one of the most successful and popular video game franchises of all time, helping to establish Xbox as a major player in the console market and cementing Activision’s position as a dominant force in the industry.
Activision also formed partnerships with other major companies, including Blizzard Entertainment, which it acquired in 2008. Blizzard is responsible for some of the most successful video game franchises of all time, including World of Warcraft and Diablo. Activision’s partnership with Blizzard helped the company expand its reach and establish itself as a leader in the massively multiplayer online (MMO) gaming market.
Another key strategy that Activision used to dominate the video game market was acquisitions. In addition to its acquisition of Blizzard, Activision has made several other strategic acquisitions over the years. In 2011, the company acquired the mobile game developer King, which is responsible for the highly successful Candy Crush franchise. The acquisition of King helped Activision expand its reach into the mobile gaming market and establish itself as a leader in that space.
Activision has also made strategic acquisitions in the esports market. In 2015, the company acquired Major League Gaming, which is one of the largest esports organizations in the world. The acquisition helped Activision establish itself as a major player in the esports market and paved the way for the development of its own esports leagues and tournaments.
Innovation and Creative Control
Another key factor in Activision’s dominance of the video game market is its commitment to innovation and creative control. The company has a long history of developing new and innovative game franchises, including the hugely successful Call of Duty and Skylanders franchises. Activision has also been successful in maintaining creative control over its games, allowing its development teams to take risks and push the boundaries of the industry.
Diversification and Adaptation
Finally, Activision has been successful in diversifying its product offerings and adapting to changing market trends. In recent years, the company has shifted its focus to digital distribution and the development of free-to-play games. Activision has also been successful in developing games for emerging platforms like virtual reality and mobile devices.
In a Nutshell
In conclusion, Activision’s dominance of the video game market is the result of a combination of strategic partnerships, acquisitions, innovation, and creative control. The company’s commitment to quality game development and its ability to adapt to changing market trends have helped it maintain its position as a dominant force in the industry.