PS2 News: At What Cost Guitar Hero? - PS2 News

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At What Cost Guitar Hero?

Activision purchased Guitar Hero publisher Red Octane, back in May, but nobody is quite sure just what the acquisition cost. Until now. According to GameDaily the final tab won't be known for awhile, but the number could be anywhere from 100-150 million dollars.

Activision isn't talking, but their latest filing with the SEC (Securities and Exchange Commission) shows that they shelled out  $99.9 million, 30.9 million of that in cash, and 69 million in stock. Should Guitar Hero blow up at retail, the cost could go higher due to performance related incentives in the deal.

That's a ton of cash to shell out for a company that's known for one game, but there's no doubt that Guitar Hero is one of the hottest franchises out there, so only time will tell if Activision paid too much.

Related Game(s): Guitar Hero 2

8/10/2006 Aaron Thomas

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