Microsoft and Activision are collaborating on a new initiative within Blizzard, focusing on the development of smaller-scale, AA games based on established franchises. This new team, largely comprised of King employees, aims to leverage the extensive IP library acquired through Microsoft's 2023 Activision Blizzard acquisition.
The focus on AA titles, characterized by smaller budgets and scopes than their AAA counterparts, is a strategic move. King's expertise in mobile game development, demonstrated by successes like Candy Crush and Farm Heroes, suggests a likely concentration on mobile platforms for these new projects. Past ventures like Crash Bandicoot: On the Run! (since discontinued) and plans for a Call of Duty mobile game illustrate King's experience in adapting existing IPs to the mobile market. However, it's important to note that the Call of Duty mobile title is being developed by a separate team.
This strategic shift aligns with Microsoft's broader ambition to significantly expand its presence in the mobile gaming sector. Phil Spencer, CEO of Microsoft Gaming, highlighted mobile gaming's crucial role in Xbox's growth strategy, citing it as the primary driver behind the Activision Blizzard acquisition. This initiative extends beyond simply adding new games; it's about gaining a foothold in mobile development capabilities. Further bolstering this strategy, Microsoft is actively developing its own mobile game store to compete with Apple and Google, aiming for a launch sooner rather than later.
The creation of this new team also addresses the increasing costs of AAA game development. By experimenting with smaller, more agile teams within the larger structure, Microsoft is exploring a more cost-effective approach to game creation. While details are scarce, speculation abounds regarding potential projects. These could include scaled-down versions of established franchises like World of Warcraft, potentially mirroring the success of League of Legends: Wild Rift, or a mobile Overwatch experience comparable to Apex Legends Mobile or Call of Duty: Mobile.