It’s hard to count just how many times we’ve mentioned how awful 2021 was for Activision Blizzard. However, despite the tumultuous situation in the company, players still didn’t hesitate to throw money at Activision Blizzard’s games. After releasing its fourth-quarter earnings and 2021 financial results, Activision Blizzard just revealed that its microtransaction numbers went up despite a dip in net revenues. According to the numbers, Activision Blizzard’s Q4 net revenues saw a 10% year-over-year decline at $2.16 billion. But, because of microtransactions, Activision still ended the 2021 fiscal year with a record-setting $8.8 billion in revenue.
— Activision Blizzard (@ATVI_AB) February 3, 2022 Unlike in previous years where Activision Blizzard relied on both proven and newer titles to pull in the numbers, 2021 was different. 2021 was the fifth straight year that Blizzard hadn’t released a new game, forcing the publisher to rely mostly on microtransactions. Thankfully, the much-maligned business model pulled through as Activision Blizzard posted a $5.1 billion net for in-game sales, which includes everything from DLC purchases to World of Warcraft subscriptions as well as transactions that involve cosmetic items and loot boxes for anything under Activision Blizzard’s umbrella. Just to put Activision’s total net sales from microtransactions into context, Sony only paid $3.6 billion to acquire Bungie. This means that Activision Blizzard made around 40% more in microtransactions alone than what Sony paid for its most recent acquisition. Furthermore, the $5.1 billion figure is nearly $1 billion more than what Activision Blizzard posted the previous fiscal year, which was also a record-breaker for the company. How Activision Blizzard still achieved a record-breaking year despite everything that had happened is anyone’s guess. It appears that delaying Diablo 4 and Overwatch 2, as well as the ongoing sexual harassment proceedings, aren’t enough to put a dent in Activision Blizzard’s seemingly ironclad hold on its hardcore fans. What isn’t surprising here is Microsoft’s decision to pay nearly $70 billion to buy Activision Blizzard. After two straight years of breaking revenue records, Microsoft must have thought that it had a bargain when the opportunity to purchase Activision Blizzard presented itself. Having said that, Activision Blizzard’s streak of breaking revenue records might not be over. Case in point, Diablo Immortal is expected to launch this year, with Overwatch 2 rumored to go into beta in March. Furthermore, Activision Blizzard just confirmed that a mobile Warcraft game will be released before the year ends, with Infinity Ward working on a new Call of Duty game alongside a potential Warzone sequel.
