Activision/IW Snafu: Royalty Issues, Breach Of Contract
Call of Duty: Modern Warfare 2This so deserves a separate headline just because it's a colossal giant mess with tons of intrigue and drama.
We're still not entirely sure what happened between Activision and Infinity Ward but at the very least, we know it was a falling out of some kind. Last night, we learned that IW bosses Vince Zampella and Jason West never returned from a meeting with Activision; after which, some "bouncer types" showed up at IW and really freaked everyone out. Well, now it seems that both Zampella and West have been fired and there may even be a lawsuit that follows. Why? Like we said, it's a mess. You may want to read through the updates over at Binge Gamer, because there's a lot to go over. Firstly, it seems the developers haven't received any royalties for Call of Duty: Modern Warfare 2 yet; a game that has earned Activision over $1 billion in revenue thus far. Maybe it's just a contractual thing and IW isn't supposed to receive any royalties just yet, but we can't be sure. Secondly, although Activision owns Infinity Ward, the development studio is technically autonomous; they're merely held in place by a contract that expires in October. The problem seems to revolve around the Call of Duty franchise: Activision may want the rights to the name but Infinity Ward holds them. If IW doesn't want to do a Modern Warfare 3, Activision probably does and needs another developer...hence, they need those rights.
The last part is downright nasty- according to recent SEC paperwork filed by Activision, there were "breaches of contract and insubordination by two senior employees at Infinity Ward." An inside source believes IW may have been in talks with a "rival publisher," which is likely the breach Activision is claiming. Interestingly enough, come October when the Acti/IW contract dissolves, Infinity Ward could hire Zampella and West back. Maybe they'll just take a little vacation for now...? Anyway, we're certain there's more to this story but we'll let it lie for now until either party comes forward with something official.
3/2/2010 10:44:02 AM Ben Dutka
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Comments (86 posts)
Jawknee
Tuesday, March 02, 2010 @ 11:12:48 AM
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21 up, 4 down
johnld
Tuesday, March 02, 2010 @ 8:10:46 PM
4 up, 0 down
Dancemachine55
Tuesday, March 02, 2010 @ 8:31:00 PM
Unfortunately, M$ has more $ than Sony, I wouldn't doubt THEY'D love to get their hands on Modern Warfare 3 as an exclusive. M$ did try to buyout EA after all, but EA loves being multiplat too much to agree with the exclusive deal.
Hopefully IW will feel the same and remain multiplat. However, having played BF BC 2 demo, Modern Warfare 2 is pretty crap in my eyes. A few awesome moments, but once their gone, that's it!!!
IW does deserve better treatment than this though. We here at PSXextreme have always known the truth!!! Activision is the devil who continue to beat a dead horse. Anything under their name has a big title with a lousy game underneath it. Might have something to do with how they treat their developers.
1 up, 0 down
Akuma07
Tuesday, March 02, 2010 @ 9:22:06 PM
1 up, 0 down
Alienange
Tuesday, March 02, 2010 @ 9:35:56 PM
0 up, 0 down
JackC8
Tuesday, March 02, 2010 @ 11:17:05 AM
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25 up, 0 down
coverton341
Tuesday, March 02, 2010 @ 12:43:40 PM
16 up, 4 down
coverton341
Tuesday, March 02, 2010 @ 5:47:10 PM
4 up, 0 down
Karosso
Tuesday, March 02, 2010 @ 11:17:17 AM
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28 up, 1 down
Nynja
Tuesday, March 02, 2010 @ 11:20:11 AM
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1 up, 0 down
Epimetheus
Tuesday, March 02, 2010 @ 11:36:54 AM
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23 up, 0 down
fluffer nutter
Tuesday, March 02, 2010 @ 12:12:21 PM
7 up, 0 down
animalmother
Tuesday, March 02, 2010 @ 7:44:58 PM
0 up, 0 down
spiderboi
Tuesday, March 02, 2010 @ 10:24:11 PM
1 up, 0 down
556pineapple
Tuesday, March 02, 2010 @ 11:47:28 AM
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Last edited by 556pineapple on 3/2/2010 11:48:43 AM
8 up, 2 down
Mr Bitey
Tuesday, March 02, 2010 @ 11:52:33 AM
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Just when you think Activision can't possibly stoop lower, they always do.
22 up, 2 down
kraygen
Tuesday, March 02, 2010 @ 2:30:56 PM
12 up, 2 down
Scarecrow
Tuesday, March 02, 2010 @ 11:55:02 AM
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Both Squeeeeenix and Activision are crashing
Karma doesn't mess around...
20 up, 3 down
Dancemachine55
Tuesday, March 02, 2010 @ 8:41:40 PM
Yes, Square Enix has made many "questionable" decisions lately, but they are no where near the same league as Activision.
Activision is the devil personified through a gaming company. All they see is $ in their eyes. They have no care or respect for gamers or developers, whereas Square Enix still kinda do.
But these companies have a long way to go to earn the same respect we give to Sony and Nintendo. Old Snake and Mario FTW!!!!
3 up, 0 down
maxpontiac
Tuesday, March 02, 2010 @ 11:55:16 AM
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Naughty Dog.
Guerilla Games.
Santa Monica.
Insomniac.
Infinity Ward??
Wow!
21 up, 1 down
Karosso
Tuesday, March 02, 2010 @ 12:02:02 PM
18 up, 0 down
LividFiction
Tuesday, March 02, 2010 @ 12:03:16 PM
14 up, 0 down
Dustinwp
Tuesday, March 02, 2010 @ 12:37:23 PM
Zipper Interactive
Team ICO
Evolution Studios
15 up, 1 down
Dancemachine55
Tuesday, March 02, 2010 @ 8:48:31 PM
I can see Sony appealing to their good side with patience and freedom to create whatever they want. M$ sound like they'll beat more CoD's outta IW until it dies, much like what their doing to Bungie with Halo. M$ just keep offering companies more money to entice them to the land of the Red Rings. They have no soul, conscience or shame.
(eeew, just got an image of M$ being a child-thief who entices them with candy, while Sony is the police looking out for their safety. Nintendo is the playground the kids hang out at, hehe. The metaphor works far too well)
1 up, 0 down
FullmetalX10
Tuesday, March 02, 2010 @ 12:00:52 PM
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8 up, 0 down
0_o
Tuesday, March 02, 2010 @ 12:02:30 PM
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9 up, 0 down
Dancemachine55
Tuesday, March 02, 2010 @ 8:50:57 PM
IW would have one helluva time topping that, especially if they want to keep framerates high and splitscreen multiplayer in their games.
0 up, 0 down
Brklynty1
Tuesday, March 02, 2010 @ 12:35:45 PM
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Last edited by Brklynty1 on 3/2/2010 12:37:05 PM
6 up, 0 down
photo K
Tuesday, March 02, 2010 @ 1:21:17 PM
1 up, 0 down
NiteKrawler
Tuesday, March 02, 2010 @ 12:37:31 PM
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7 up, 0 down
Alienange
Tuesday, March 02, 2010 @ 12:48:28 PM
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8 up, 1 down
___________
Wednesday, March 03, 2010 @ 1:00:19 AM
they have released absolutely nothing in like what 5 years?
just milking the WoW cow to death, but than i guess thats moneyvisions company model.
diablo 3 for example it was suppose to be out last year, than this and now there saying not befor 2012.
just release the god dam thing already!
god, and i thought GT5 was taking its sweet time.
0 up, 1 down
WorldEndsWithMe
Tuesday, March 02, 2010 @ 1:07:45 PM
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8 up, 1 down
Hezzron
Tuesday, March 02, 2010 @ 1:27:44 PM
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I also heard that Bobby Kotick likes to wear the skins of former developers as he parades around the Activision offices.
8 up, 1 down
St_Jimmy
Tuesday, March 02, 2010 @ 3:55:46 PM
3 up, 0 down
Geobaldi
Tuesday, March 02, 2010 @ 4:33:36 PM
0 up, 0 down
BadBrad
Tuesday, March 02, 2010 @ 1:42:40 PM
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Sony should buy them...then in 2 years time release...
Killzone 3 : The Call Of Duty !!!!!!!!!!
2 up, 8 down
rogers71
Tuesday, March 02, 2010 @ 1:57:00 PM
Doesn't bother me anyway, Treyarch's SP storylines are always better than IW's. IW gets the nod in MP but I don't bother with MP so keep em coming Treyarch. I will be happy.
4 up, 2 down
sunspider13
Tuesday, March 02, 2010 @ 2:02:26 PM
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4 up, 0 down
Oyashiro
Tuesday, March 02, 2010 @ 2:12:07 PM
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14 up, 0 down
ace_boon_coon
Tuesday, March 02, 2010 @ 4:34:44 PM
2 up, 1 down
Banky A
Wednesday, March 03, 2010 @ 4:22:13 AM
0 up, 0 down
SvenMD
Tuesday, March 02, 2010 @ 2:17:31 PM
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Perfect timing Activision!!
Gotta love scandals.
15 up, 1 down
SSRGohan
Tuesday, March 02, 2010 @ 2:17:31 PM
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3 up, 0 down
kraygen
Tuesday, March 02, 2010 @ 2:41:31 PM
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On another point, all IW is know for is shooters and if they do in fact part ways to start a new IP, i for one pray that it is not a shooter. Then we can really determine how good of a developer they are.
1 up, 1 down
Ben Dutka PSXE [Administrator]
Tuesday, March 02, 2010 @ 3:00:16 PM
4 up, 0 down
Nynja
Tuesday, March 02, 2010 @ 3:00:34 PM
9 up, 0 down
Oyashiro
Tuesday, March 02, 2010 @ 3:05:39 PM
5 up, 1 down
Wage SLAVES
Tuesday, March 02, 2010 @ 3:09:19 PM
If your good at something why change unless your creativity is absolutely driving you there?
11 up, 0 down
kraygen
Tuesday, March 02, 2010 @ 3:11:42 PM
Actually Polyphony made a game called omega boost which i've never played but psx gave an 8.9 review, others not so nice a score but anyway they have done other things. On the other hand i find racing games much more interesting than shooters.
My earlier comment was just me showing my anti-shooter bias really. =)
0 up, 0 down
Miggy
Tuesday, March 02, 2010 @ 3:12:37 PM
2 up, 0 down
Nynja
Tuesday, March 02, 2010 @ 3:41:04 PM
Tuche.
Last edited by Nynja on 3/2/2010 3:42:16 PM
0 up, 0 down
sunspider13
Tuesday, March 02, 2010 @ 5:45:52 PM
Right on! Omega Boost was a great game. Now what if PD brought that to the PS3?
*crosses fingers*
0 up, 0 down
FxTales
Tuesday, March 02, 2010 @ 2:49:02 PM
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5 up, 1 down
Wage SLAVES
Tuesday, March 02, 2010 @ 3:04:56 PM
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Take the fun out of video games, yeah take the $ out of your pockets, pricks!
Funny thing is makes you wonder what all that exclusive Xbox 360 and supporting M$ off at E3 last year....
Wanna speculate that they were about to jump into bed with M$, they did say that they did the special console because they had such a good relationship with M$...
8 up, 1 down
Nynja
Tuesday, March 02, 2010 @ 3:46:21 PM
IW does seem to favor the 360 system. Exclusivity deals on DLC, bundles, advertising. Microsoft would absolutely love to get IW's new IP as an exclusive on the 360 to battle it out with Sony's onslaught of upcoming exclusives. Obviously Activision won't have that because that would lower their target customer base in half. Sure less money for Activision, but as long as IW stays with them, we'll continue to get more games on PS3.
If this were the case, would we all be bashing Activision still? Or would the tide turn against Infinity Ward?
Just a thought.
Last edited by Nynja on 3/2/2010 3:48:03 PM
2 up, 0 down
Jed
Tuesday, March 02, 2010 @ 3:12:32 PM
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Whatever happens, I would be cool with it as long as Activision looses money.
6 up, 0 down
www
Tuesday, March 02, 2010 @ 3:35:38 PM
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Last edited by www on 3/2/2010 3:36:21 PM
1 up, 1 down
rogers71
Tuesday, March 02, 2010 @ 5:26:45 PM
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Deny it all you want but IW just can't make a game with any kind of story line.
2 up, 2 down
Alienange
Tuesday, March 02, 2010 @ 9:46:29 PM
1 up, 3 down
___________
Wednesday, March 03, 2010 @ 12:55:24 AM
could not understand what the ^%$# was going on in MW2, and there pathetic attempt of shock and awe just proves how desperate and pathetic they are.
IW may know how to make a fantastic online game (thats why its so buggy and full of hackers) but when it comes to single player stories, even rebellion have them out pegged!
0 up, 1 down
rogers71
Wednesday, March 03, 2010 @ 1:13:09 AM
Why does it not surprise me that we once again disagree. The story in World at War far surpasses either MW game for character immersion and story path.
IW puts you into a battle with person "A" and then the next level is person "B". There really is no story connecting the levels.
Whereas, WaW made you get connected with and care about the characters you were portraying. You actually feel some modicum of danger when playing and you actually fear for the character.
You know as well as I do that IW puts their MP before all other aspects. Give me a Resistance, Killzone or a Treyarch developed COD any day over IW's watered down SP campaign.
1 up, 0 down
BikerSaint
Tuesday, March 02, 2010 @ 8:23:48 PM
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According to all the many sources I've seen so far, Anti-vision has controlling rights to IW, but only till around August I believe, when their contract ends.
And IW partly owns the name "MW", so there's nothing kotex can do about it, other than flexing his muscles like he's just done before IW walks away.
The way I see it, this is Kotek's way of bullying the remaining IW little guys.......
1. by holding their royalties for ransom until they either starve, or cave-in to all of his demands.
2. by firing the 2 IW bosses while he was still able to do so, in a show of force to scare IW into either, re-signing before the contract expires, or to get IW to relinquish their rights & ownership of the name "MW" before they walk.
Kotek "WILL" do everything he can to make life at IW even more unbearable until either August rolls around, or he's gotten his way.
So I hope for IW's sake that they can hold out till August, and once they're free of the maniacal ruler, they can show him what "REAL PAYBACKS are all about. Plus, they can re-hire their 2 fired bosses right back too.
Come on Sony, here's the chance to give kotex a good karma lesson for all of his prior a$$inine demands that you lower the PS3 price.
And Sony.....with just 1 fell swipe of your mighty pen, you can even put MS in it's place at the very same time!!!!
So now you need to bringing on your AAA game & step it up.......breaking out the cash and contracts, and have both ready for an August signing!
2 up, 0 down
___________
Wednesday, March 03, 2010 @ 12:50:57 AM
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activision breaks the contract and IW get punished?
sounds like there getting fired for being disloyal since when is that reasons to be fired?
if i was them, id be suing activision for unfair dismissal and early termination of contract.
thats what my boss tried to do with me, and i got him into a heap of sh*t because of it, bastard was not paying me super or overtime either.
thats what happens when you play with fire, YOU GET BURNED!
0 up, 2 down
Nynja
Wednesday, March 03, 2010 @ 8:17:52 AM
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It would not surprise me if West and Zampella walked in attempt to save the jobs of their employees or simply pride.
Man I cannot wait to hear the actual facts of what had happened. One thing is for sure, Activision is the new "EA" and in my book can go suck a big fat Kodick.
Until the truth is revealed (if ever) I will never buy another Activision published game.
Boycotting begins now.
Last edited by Nynja on 3/3/2010 8:20:40 AM
3 up, 0 down
BikerSaint
Wednesday, March 03, 2010 @ 2:31:22 PM
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Also boycotting kotex & antiChrist-vision!
0 up, 0 down
SnipeySnake
Wednesday, March 03, 2010 @ 2:34:48 PM
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0 up, 0 down
MadKatBebop
Reply
Tuesday, March 02, 2010 @ 11:07:53 AM