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Microsoft Activision Aims to Make AA Games of AAA IPs

Author:Kristen Update:Jan 21,2025

Microsoft and Activision Team Up for Smaller-Scale Games

A new team within Blizzard, primarily composed of King employees, is focusing on developing AA titles based on established franchises, according to reports from Windows Central. This initiative follows Microsoft's 2023 acquisition of Activision Blizzard, granting access to a wealth of popular IPs.

Microsoft and Activision's New AA Game Initiative

This strategic move aims to leverage King's mobile game expertise to create smaller-scale, AA games. Unlike the resource-intensive AAA titles, AA games offer a more streamlined development process, allowing for quicker release cycles and potentially broader market reach. Given King's success with mobile hits like Candy Crush, it's anticipated that these new projects will be mobile-focused.

King's prior experience with IP-based mobile games, such as the now-discontinued Crash Bandicoot: On the Run!, provides a foundation for this endeavor. However, the status of their previously announced Call of Duty mobile game remains uncertain.

Microsoft's Mobile Ambitions

Microsoft's commitment to mobile gaming is evident. At Gamescom 2023, Phil Spencer, CEO of Microsoft Gaming, highlighted mobile's crucial role in Xbox's growth strategy, citing it as the key driver behind the Activision Blizzard acquisition. This isn't about bringing existing franchises to mobile platforms, but rather about gaining mobile development capabilities, aiming for a larger presence on the dominant mobile gaming market.

Microsoft's Focus on Mobile Gaming

Further bolstering this strategy, Microsoft is developing its own mobile app store to compete with Apple and Google. While specifics are limited, Spencer hinted at a relatively near release timeframe at CCXP 2023.

Addressing AAA Development Costs

The rising costs associated with AAA game development have prompted Microsoft to explore alternative approaches. This new team represents an experiment in smaller-scale development within a larger corporate structure.

Microsoft's Strategy to Combat Rising AAA Development Costs

Speculation abounds regarding the team's projects. Potential candidates include mobile adaptations of existing franchises, mirroring the success of titles like League of Legends: Wild Rift or Apex Legends Mobile.

Microsoft Activision Aims to Make AA Games of AAA IPs