Activision Blizzard Partnership With Game Developer Bungie Ends - Investor's Business Daily

Shares of Activision Blizzard (ATVI) plunged late Thursday after the company announced that video game developer Bungie would assume full publishing rights and responsibilities for the "Destiny" franchise, ending a partnership established in 2010.

Bungie will now own and develop the "Destiny" line of first-person shooter video games.

"As a result, (Activision Blizzard) does not expect to recognize material revenue, operating income or operating loss from the 'Destiny' franchise in 2019," Activision said in a filing with the Securities and Exchange Commission.

Activision Blizzard stock plunged 6.6% in after-hours trading, near 47.94.

"We have enjoyed a successful eight-year run and would like to thank Activision for their partnership on 'Destiny,' " Bungie said in an written announcement. "With our remarkable 'Destiny' community, we are ready to publish on our own, while Activision will increase their focus on owned (intellectual property) projects."

In a joint statement, Activision and Bungie promised they are "committed to a seamless transition for the 'Destiny' franchise and will continue to work closely together during the transition on behalf of the community of 'Destiny' players around the world."

YOU MIGHT ALSO LIKE:

How CEO Strauss Zelnick Redeemed Take-Two Interactive

Take-Two's 'Red Dead Redemption 2' Wins Holiday Video Game Sales

Let's block ads! (Why?)