Activision’s new mobile studio to develop AAA Call of Duty title alongside CoD Mobile
The Birth of Activision Mobile Studio
Activision has taken a significant strategic step by establishing a dedicated mobile development studio at its Santa Monica headquarters. This move represents a major shift in the company’s approach to mobile gaming, transitioning from reliance on external partners to building internal expertise.
The newly formed Activision Mobile team is currently recruiting key positions, including a Mobile Producer, to spearhead development of what’s being described as a ‘AAA mobile title’ in the Call of Duty franchise.
This California-based initiative marks a departure from Activision’s previous mobile strategy, which primarily involved licensing its IP to established mobile developers like China’s TiMi Studios (CoD Mobile) and NetEase (Diablo Immortal).
The Mobile Gaming Landscape
The global mobile gaming market has seen explosive growth, with revenue projections exceeding $100 billion annually. Western publishers who previously focused on console and PC are now aggressively expanding into mobile, with Activision positioning itself at the forefront of this transition.
Activision’s existing mobile ventures demonstrate the platform’s potential. CoD Mobile has achieved over 500 million downloads since launch, while Diablo Immortal generated $100 million in revenue within its first two months. These successes likely influenced the decision to bring development in-house.
For developers looking to break into mobile gaming, understanding these market dynamics is crucial. The shift toward live service models and cross-platform play creates both opportunities and challenges for new entrants.
The New AAA Mobile Project
The upcoming AAA mobile title will exist alongside rather than replace CoD Mobile, according to job listing details. This suggests Activision is building a complementary experience rather than a direct successor, potentially targeting different player demographics or gameplay styles.
The Santa Monica team will have dual responsibilities: developing the new game while supporting live operations for CoD Mobile. This indicates Activision views mobile as a long-term commitment requiring dedicated resources.
Early development stages mean players shouldn’t expect a release before 2022 at the earliest. The extended timeline allows the team to implement lessons learned from CoD Mobile while innovating within the franchise’s established framework.
Common pitfalls in mobile FPS development include control scheme optimization and balancing monetization with gameplay integrity. Activision’s experience with Warzone mobile elements may help avoid these issues.
Business Implications
Activision’s $2.28 billion Q1 2021 revenue demonstrates the financial potential of its mobile strategy. The company has successfully adapted console monetization models to mobile, with battle passes and cosmetic items driving consistent revenue streams.
The new studio represents a significant investment in mobile’s future. By bringing development in-house, Activision gains greater control over quality, release schedules, and revenue sharing – crucial factors in the competitive mobile market.
For investors and industry observers, key metrics to watch include user acquisition costs, retention rates, and average revenue per user (ARPU) when the new title launches.
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