Microsoft Activision to Develop AA Games from AAA IPs

Microsoft and Activision to Focus on 'AA' Games

King Employees to Power Smaller Blizzard Titles

Microsoft and Activision have formed a new team within Blizzard, primarily composed of King employees, following Microsoft's acquisition of Activision Blizzard in 2023. This strategic move leverages the vast library of renowned game IPs such as Diablo and World of Warcraft. According to Jez Corden of Windows Central, this team's mission is to develop AA games, which are smaller in scope and budget compared to AAA titles. Given King's expertise in mobile gaming with successes like Candy Crush and Farm Heroes, it's speculated that the focus will be on crafting mobile versions of these iconic franchises.

King's prior experience with mobile games based on existing IPs includes the now-discontinued Crash Bandicoot: On the Run! and a planned Call of Duty mobile game, although the latter's status remains uncertain due to the existing Call of Duty: Mobile developed by a different team.

Microsoft Aims to Strengthen Their Mobile Presence

During Gamescom 2023, Microsoft Gaming CEO Phil Spencer highlighted the importance of mobile gaming in Xbox's growth strategy. He underscored mobile capabilities as the key motivation behind Microsoft's $68.7 billion acquisition of Activision Blizzard. Spencer stated, "The reason we’re in the acquisition discussion with Activision Blizzard King is around their mobile capability because it’s just something we don’t have… We obviously already have Call of Duty on our platform; we already have Diablo on our platform. So it’s not about new games that Xbox players don’t have access to today. It is about a capability on mobile, and some broader ambitions that we have on the largest gaming platform, which is mobile phones."

To further bolster its gaming ecosystem, Microsoft is developing a mobile store to compete with Apple and Google. While specifics are yet to be revealed, Spencer hinted at CCXP 2023 that the launch is imminent, not "multiple years away."

With the rising costs of AAA game development, Microsoft is adopting a new strategy. As per Jez Corden, the company is experimenting with smaller teams within its larger structure to navigate these changes. Although details are scarce, the creation of this new team has sparked speculation among fans about potential projects. These could include mobile adaptations of popular franchises like World of Warcraft, similar to League of Legends' Wildrift, or a mobile version of Overwatch akin to Apex Legends Mobile or Call of Duty: Mobile.