Microsoft Activision Aims to Make AA Games of AAA IPs

Microsoft and Activision Blizzard's New Strategy: Smaller Games, Bigger Mobile Reach

Microsoft and Activision have formed a new team at Blizzard, primarily composed of King employees, to develop smaller-scale, AA games based on existing franchises. This strategic move follows Microsoft's 2023 acquisition of Activision Blizzard, granting them access to a wealth of popular IPs.

King's Mobile Expertise Fuels Blizzard's AA Push

The new team, according to Windows Central's Jez Corden, will focus on developing AA titles—games with smaller budgets and scope than AAA releases—likely for mobile platforms. King's proven success with mobile hits like Candy Crush and Farm Heroes makes this a logical direction. While their past experience includes the now-discontinued Crash Bandicoot: On the Run! and an unconfirmed Call of Duty mobile project, this new initiative represents a significant expansion of their mobile game development within the Blizzard ecosystem.

Microsoft's Mobile Ambitions: A Key Driver

Microsoft's acquisition of Activision Blizzard was largely driven by a desire to strengthen its mobile gaming presence, as highlighted by Xbox CEO Phil Spencer at Gamescom 2023 and CCXP 2023. He emphasized that mobile is the largest gaming platform, and this initiative directly addresses Microsoft's lack of significant mobile capabilities. This strategy extends beyond individual game releases, encompassing the development of a new mobile app store to compete with Apple and Google, anticipated to launch sooner than expected.

Addressing AAA Development Costs: A New Approach

The rising costs of AAA game development are prompting Microsoft to explore alternative approaches. The formation of this smaller, focused team allows for experimentation and potentially more efficient resource allocation.

Speculation and Possibilities

The new team's projects remain undisclosed, but speculation abounds. Mobile adaptations of popular franchises like World of Warcraft (similar to League of Legends: Wild Rift) or Overwatch (akin to Apex Legends Mobile or Call of Duty: Mobile) are strong possibilities. This strategy signifies a significant shift in Microsoft's gaming approach, prioritizing mobile expansion and efficient game development.