Activision is the largest third party publisher in the world and the company is not afraid to throw their weight around. In an interview with The Times, Activision's CEO and president, Bobby Kotick, threatened Sony by stating that Activision would consider not supporting the PS3 and PSP. According to Kotick:

I'm getting concerned about Sony; the PlayStation 3 is losing a bit of momentum and they don't make it easy for me to support the platform. It's expensive to develop for the console, and the Wii and the Xbox are just selling better. Games generate a better return on invested capital on the Xbox than on the PlayStation.

All this seems reasonable, he goes on to say:

They have to cut the price, because if they don't, the attach rates are likely to slow. If we are being realistic, we might have to stop supporting Sony. When we look at 2010 and 2011, we might want to consider if we support the console - and the PSP too.

No Guitar Hero and Modern Warfare on Sony systems seems highly unlikely. Sony would probably take steps to make sure that wouldn't happen. What is surprising is that Kotick would publicly threaten Sony. A third party publisher threatening a major hardware manufacturer seems completely unheard of. What do you guys think? Is Activision being a bully or is Kotick right to demand a price drop from Sony?

Comments (19)

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srichins80 said:

... There is no way Activision would stop supporting Sony. Even if it is expensive, I'm sure it is still profitable. Activision won't stop as long as there is money to be had.

June 19, 2009

Deschain said:

... Most likely this is a strong arm to get Sony to agree to something Activision wants. It is also possible that this is backlash against Sony releasing inFamous before Prototype ("fine, if you are going to kill the sales of our titles on you platform, we just will not make anymore"). However, while Activision almost definitely makes money from PS3 sales, the real question is whether or not they could make more money selling some other game on another platform. Every big company has to choose where to devote resources. It is possible that the PS3 is at risk of falling below some profitability line (makes money but not enough) for Activision. It's unlikely, but possible.

June 19, 2009

Spdrcr55 said:

... Maybe if they made games that were re-playable and fun then attach rates would be higher. Price of the console has nothing to do with the gameplay and the desire to buy it again. If they did a better job at graphics in their games and did not do a half-backed job in more of the games they publish, then there would be attach rates in the higher numbers for Activision games. I remember that Activision used to make a console in the early days of the gaming industry why if they find it harder to produce games for the PS3 consider making their own console again? The reason that attach rates are so bad for Activision games is that they use the wrong platform to develop the games on... Many other 3rd party developers have said that if they develop games on the M$ platform then when games are ported to the PS3 they are harder to do, DUH. That is why M$ only used the parts of Sony code needed to use the PPC Multicore processor, they also use software compression to get the graphics at the level they have. PS# does not require software compression since they have the PPC core that they need to work without it. I don't buy Activision games since most of them have been reviewed as not in the genre that I like to play being an Adult over the age of 50.

June 19, 2009

Blackflash said:

... This is an action to force Sony's hand on decreasing the price, because clearing in order to pay sony $500,000,000 in royalties, they have to be making alot of money, this seems to be a bluff to make sony take action, COD4 sold over 4.5 million units on the PS3, I don't think they want to lose something like that.

June 19, 2009

TeLeKiNeSiS said:

... I would say that this is very possible. First of all, the PS3 is way overpriced. Let's not forget Hideo Kojima having huge concerns about MGS4 not reaching a broad enough audience due to lack of an install base. That's why the rumors of MGS4 on Xbox 360 came about, but as you can see the series is coming to the 360. It's very difficult to develop for the PS3 in comparison to the 360 and Wii, so a lot of time, effort, and money is put into making this happen. The easiest translation of a game to make happen is 360 to Windows, right? Well, let's NOT forget that Activision didn't release Call of Duty 3 for the PC for a reason. They didn't see a viable reason to release the game for the PC due to lackluster sales. Now that's a gutsy decision! Now do the math, PC install base vs. the PS3 install base. Where would they take a bigger hit? Not releasing a game for the PC where it's easier to port the game over (low overhead)? Or the PS3 where it takes more development money and you have less people to purchase your title? I'd say they could afford not to release for the PS3, but not the PC. I don't blame you Activision! Handle your business!

June 19, 2009

XBX360Dad said:

... Hey, whatever it takes! Sony has refused to budge on thier price to the point of absurdity. They haven't listened to consumers, maybe game publishers can get them to see the light.

June 19, 2009

morenachos said:

... This is clearly a case of "Not being about what it's about". There is something else going on here, behind the scenes that has Activision pushing their chess pieces out on the board. This is far from finished...

June 19, 2009

robbiejo said:

... Activision is not going to stop supporting the PS3. This is simply Kotick trying to make even more money for Activision.Making games for the PS3 is profitable, Activision or any other publisher for that matter wouldn't make games for the PS3 if it wasn't profitable. I am sure Kotick sees the PS3 as a system with the potential to make even more money for Activision. More PS3s sold = more games Activision sells. He doesn't care if Sony loses money on hardware, he just wants to sell more games.

June 19, 2009

Dew said:

... Activision should practise what they preach and stop expecting people to shell out hundreds of dollars for peripherals. To turn their backs on 22m consumers would be stupid at the very least. I bet the guy just wants to look like the one who forced Sony's hands in dropping the PS3 price, which is probably going to happen around fall anyway, as some believe to coincide with release of new Madden NFL (an EA game). I also wonder if this something to do with Microsoft's John Schappert going back to EA? May be Mr. Kotick should send his C.V. to Microsoft where his comments would be better appreciated.

June 19, 2009

Skate said:

... He's right on the mark. Nicely put, Activision. I think there is something else going on as well but I don't really care - the guy is right. I think it would be foolish to stop selling games on a console, but if they aren't selling or development costs are too high, what's the point?

June 19, 2009

Mongo said:

... This is not the first publisher saying that the PS3 is hard to program for. Anyone remember Gabe Newell's comments? Last I check Valve is doing very well not supporting the PS3. Sony, IMO, has completely mismangaged the PS3 line. They are reaping the results of trying to market a blu-ray player as a game consol.

June 20, 2009

Faitios said:

... Maybe he is one of those guys who bought an XBOX360, and is trying to justify why the system he bought is the best. if they did follow through with there threat, I would bet that more then half of the PS3 purchasers would still buy the game on XBOX360 if not more. After calculating the cost of development plus overhead for that department, plus what they can convince Microsoft to pay for exclusives on titles, they might only lose a minimal amount of money. Although I agree that this is an attempt to get Sony to listen, I am not sure it will work. When is the last time Sony listened to anyone.

June 20, 2009

Golf Rat said:

... The Xbox 360 and Wii are killing the PS3 with game sales. Maybe they're losing money with Sony behind the scene. This seems strange to me.

June 20, 2009

Skate said:

... I find it ironic that people still use "M$" for "Microsoft" when it is clearly Sony who is the money-grubbing pig of the market. Microsoft isn't perfect - they definitely over-charge on some things, like peripherals and hard drives - but they aren't the blatantly greedy snobs that Sony has been for years.

June 20, 2009

isaacthejust said:

... man look at these comments you can really see who the ps3 fanboys are. i really want a ps3, but its too high and the 360 offers the better gaming experience in this gen of systems. ive seen the ps3 in action and the 360 cant do that, it just cant. in all facets of gaming its a better system: the sound is better, frame rates, graphic capability is so impressive just look at the new assassins creed i dont see my 360 pulling that off at that rate. im not a fanboy of any system, i never got an original xbox. i had a ps1, and ps2, but when it came time for me to get a new one it wasnt a hard decision to make. xbox live is the best console online gaming sense the dreamcast and everyone is trying to do that good but failing at it so far. the ps3 online is getting better but if youve done both you know. look through the telescope before desiding the earth is the center of the universe. dont kill galileo the ps3 is starting to take off in a big way and if they dropped the price and lose more money pre sale it wouldnt be a good move. because people are starting to see the potential of the platform and use what it offers to make better looking and playing games. man does the system look gorgeous. Kotick is just pouting. i say if activision is going to be a bitch about it then EA will surely step in to fill that void... they make better games anyway. and when is mass effect coming to the ps3? id love to see more people enjoy that game.

June 20, 2009

isaacthejust said:

... oh i forgot the 360 fanboys are easy to spot too. (whack on the nose with a newspaper) No! Stop it! its games were all gamers cant we get along please.

June 20, 2009

ItsBradford said:

... Price drop sounds good to me. Awesome if Activision actually pulls something like this off. I feel like there has to be something else they may want, because this doesn't seem realistic or reasonable. Sometimes it's good to have the bully on your side when you're still holding out to buy a PS3.

June 20, 2009

Arkonian said:

... If sony does a price drop, then i'm getting one but the price is the only thing holding me back

June 20, 2009

Holy Hitman said:

... Maybe a better online effort to actually compete with what xbox live offers could help generate a better install base.

June 20, 2009