Blizzard’s Rise and Fall: A Tale of Creative Friction and Corporate Greed
By [Your Name], Senior Journalist
The rise and fall of Blizzard Entertainment,once a titan of the gaming industry, is a cautionary tale of creative ambition clashing with corporate greed. Jason Schreier, a Bloomberg columnist, delves intothis complex narrative in his upcoming book, Blizzard’s Rise and Fall, offering a behind-the-scenes look at the company’s tumultuous journey.
Schreier’s book reveals that the departure of Blizzard’s founder, Mike Morhaime, was not a mere resignation but a culmination of years of conflict with Activision CEO Bobby Kotick over the company’s direction.
The tension began in 2008 when Activision merged with Vivendi Games, forming Activision Blizzard. This union, while initially promising, eventually sowed the seeds of discord. In 2013, Activision Blizzard became an independent company,but the differences in vision between the two entities remained.
One key point of contention was the cancellation of Titan, a highly anticipated game in development for years. The project, shrouded in secrecy, was ultimately abandoned, leading to a $80 million loss. Kotick, viewing this as a sign of Blizzard’sidealistic approach, saw an opportunity to streamline the company’s operations and cut costs.
This led to the appointment of Armin Zerza, a former Procter & Gamble CFO, to oversee Blizzard’s finances. Schreier describes Zerza’s arrival as a jarring shift in the company’s culture. Before Zerza came, Blizzard was run by veteran employees and hardcore gamers, Schreier writes in his book. Zerza, who came from the world of shampoo, simply didn’t understand the game industry. His lack of understanding, according to Schreier, led to resentment and mockery from Blizzard employees.
Meanwhile, Kotick’s focus on profitability clashed with Blizzard’s creative culture. He believed in rewarding only teams that generated revenue, deeming departments like customer service and cinematic production (renowned for their exceptional work) as secondary. Morhaime, a staunch advocate for Blizzard’s creative spirit, constantly clashed withKotick over these issues. He argued that the company’s strength lay in its creative vision and that focusing solely on profits would stifle innovation.
Protecting the company’s culture is protecting its competitive advantage, Morhaime argued, It attracts and retains the best talent in the world, which in turn produces excellentgames and experiences.
Schreier’s book paints a picture of a company caught between two opposing forces: the creative vision of its founders and the relentless pursuit of profit by its corporate overlords. The story of Blizzard’s rise and fall serves as a stark reminder that even the most successful companies are vulnerable to thepitfalls of corporate greed and the erosion of their core values.
References:
- Schreier, Jason. Blizzard’s Rise and Fall. [Book
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