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WoW Makes a Lot of Money! Options
Jayde
#1 Posted : Tuesday, June 22, 2010 3:34:16 PM



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"In its first quarter this year, Activision's profits hit $318 million, $189 million up on the same time in 2009."

Kotick: "Today, probably 70 percent of our operating profit comes from non-console-based video games."

"The vast bulk of this 70 per cent comes from World of Warcraft and its 11.5 million subscribers."

"Activision revealed that the MMO's operating profit stood at 55 per cent"

So... let's see then. If, say, 75% (pessimistic) of the 70% comes from WoW... that means they made $167 in profit per quarter from WoW. With a 55% profit margin, that means WoW pulls in $303 per quarter.

Since WoW's income is quite stable, in an entire year they would make $668 million in profit on $1.2 billion in revenue.

That's a bit insane... considering the rate of content updates over the last year or two. You'd think they would be able to divert some of that $668 million in profit to hire a few more designers. Razz
Lohra
#2 Posted : Tuesday, June 22, 2010 5:43:35 PM



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Jayde wrote:
That's a bit insane... considering the rate of content updates over the last year or two. You'd think they would be able to divert some of that $668 million in profit to hire a few more designers. Razz


But then they would only make $667,9 million! Thats not acceptable Smile
Jayde
#3 Posted : Tuesday, June 22, 2010 9:50:50 PM



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If I read those figures and worked at Blizzard, I would also question why I didn't get paid at least $100,000 per year. Razz

(They could pay 150 people 100k per year and it would still represent only 1.25% of their operating income...sick.)
SchLing
#4 Posted : Tuesday, June 22, 2010 9:59:13 PM

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Dark side of the stock market. If you make money... you make less because investors want a LARGE portion of the cake. Still.... it's quite insane.
Xeroxe
#5 Posted : Wednesday, July 07, 2010 9:59:27 PM

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Always wondered why you don`t work at blizzard Jayde?!
_________________
An infinite number of mathematicians walk into a bar. The first one orders a beer. The second orders half a beer. The third, a quarter of a beer. The bartender says "You're all idiots", and pours two beers.
Jayde
#6 Posted : Wednesday, July 07, 2010 11:22:40 PM



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Hard to get a job there, although I haven't applied in a very long time. Haven't really thought to much about it since moving back to the US wasn't on the cards until recently--but even then, California isn't my favorite place in the universe compared to Seattle or Portland. Would be pretty interesting to work there though.
mongbatstar
#7 Posted : Thursday, July 08, 2010 8:52:59 AM


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Jayde wrote:
[...] moving back to the US wasn't on the cards until recently


You're leaving our great shores? Sad
Sirque wrote:
I love bigpenis...

Premortem wrote:
Draex raised a valid point

Jayde
#8 Posted : Thursday, July 08, 2010 9:10:39 PM



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Just something we have been considering. No plans quite yet, though. Still planning on at least finishing this project. Smile
mongbatstar
#9 Posted : Friday, July 09, 2010 8:49:33 AM


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so, November then? Smile
Sirque wrote:
I love bigpenis...

Premortem wrote:
Draex raised a valid point

Jayde
#10 Posted : Monday, July 12, 2010 7:06:29 PM



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Mikari
#11 Posted : Monday, July 12, 2010 8:01:59 PM

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Bet it's all Jayde's fault!
mongbatstar
#12 Posted : Monday, July 12, 2010 8:44:11 PM


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It's so they could add the car chase that ends up with you driving quickly over a ramp and flying over a pool with a shark in. OHYEAIWENTTHERE
Sirque wrote:
I love bigpenis...

Premortem wrote:
Draex raised a valid point

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