Activision Blizzard shares dropped by almost 10% on Friday after the leading video game publisher announced the breakdown of Destiny's creator Bungia.
The publisher of Call of Duty and World of Warcraft has awarded Bungie's publication rights to the first-person shooter game Destiny.
The division is submitted to the Securities and Exchange Commission. Bungie will now hold and develop the Destiny franchise, and Activision will not benefit from the popular name in 2019.
Destiny 2: Forsaken was unable to meet Activision's sales expectations, but investors may still be worried about the loss of revenue from the game.
Struggling with performance and intensifying competition
The stock of Activision in 2018 struggled against the previous highest values. It faces competition in the growing video gaming market, starting with the great success of Fortnite from 2018 by Epic Games.
In early January, Activision also lost Spencer Neumann, its chief financial officer, to Netflix. Although this happened after the termination of the Neumann contract. Shooting is expected to be "in violation of his legal obligations to the company".
Blizzard CFO Amrita Ahuja also left the same time to participate in the payment company square. Other reports point to friction between Activision and Blizzard staff and quiet cost reduction by Blizzard. One former employee said:
Over the past year, Blizzard has been very active in seeking creative ways to cut costs that will not result in negative press attention.
Blizzard responded by saying that he had a "voluntary and long-lasting program" for the employee to leave and continue to play game developers. It is, however, about the dismissal of 2019.
The company also faces the former employee's accusations of intimidation and discrimination. It responded by defending an 'inclusive and respectful working environment'.
Epic games are expected to earn $ 3 billion from 2018 sales
Despite the growth of the video game market, promoted by online and cross games, Activision Blizzard has fought. The market is expected to reach more than $ 20 billion by 2020.
It is expected that Epic Games will earn approximately $ 3 billion in revenue in 2018, mainly through the acquisition of Fortnite.
Activision Blizzard joins Macy, American Airlines and Apple with a heavy start in 2019.
Special image from Shutterstock. Pricing tables from TradingView.