Naturally, this figure was revealed by everybody's favorite CEO, Bobby Kotick, during the Milken conference in Los Angeles this past week.
Investors hope that "Destiny," scheduled for release on September 9 from Bungie, the same studio that created Microsoft's best-selling "Halo" franchise, could re-invigorate Activision's revenue, which slid 6 percent in 2013.
The company signed a 10-year contract with Bungie in 2010 that gives it worldwide distribution rights and significant control over the potential franchise's development.
"If you're making a $500 million bet you can't take that chance with someone else's IP," Activision CEO told the Milken conference. "The stakes for us are getting bigger."
The company signed a 10-year contract with Bungie in 2010 that gives it worldwide distribution rights and significant control over the potential franchise's development.
"If you're making a $500 million bet you can't take that chance with someone else's IP," Activision CEO told the Milken conference. "The stakes for us are getting bigger."
That $500 million figure is unprecedented on an unproven franchise, let alone for a single game. Just to break even on this, Activision will have to sell between 15-16 million units at $60 a pop. Most analysts agree that Destiny will not sell anywhere near that number of units. Some are projecting it will sell nearer to 8 million units, or about half of what Activision would need to sell to break even.
