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Kotick explains how to screw $500 out of a $50 game photo

It seems lately that every time Bobby "Possibly Had Sex With Hitler's Ghost" Kotick opens his venomous mouth, he says something thoroughly disgusting. The evil CEO of Activision has laughed about charging high prices for videogames, pushed for a lack of fun in videogame development, and now has demonstrated the joys of squeezing $500 from a $50 game purchase.

"In the last cycle of videogames you spent $50 on a game, played it and took it back to the shop for credit," said the redheaded recidivist at the Deutsche Bank Securities Technology Conference. "Today, we'll [charge] $100 for a guitar. You might add a microphone or drums, you might buy two or three expansions packs, different types of music. Over the life of your ownership you'll probably buy around 25 additional song packs in digital downloads. So, what used to be a $50 sale is a $500 sale today.

"And the best of all margins -- the 25% operating margin business -- has the potential as we can see with World of Warcraft to be a 50% operating margin business. What used to be a low 20s return on invested capital business is now growing to a plus 40% return on invested capital business."

You can almost hear his sense of perverse glee, can't you? 

Of course, Kotick is telling investors what they want to hear, but his attitude toward the game industry and public disregard for his customers has been frankly appalling. He is clearly a man who knows that he's a hated, underhanded individual, and seems to actively revel in it. Of course, the gullible fools paying $500 per Guitar Hero installment don't get to hear Kotick's disdain for them, so they'll just keep paying him until he eventually crashes the market.








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87 comments | showing # 1 to 50
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gatorsax2010's Avatar - Comment posted on 09/15/2009 23:05
gatorsax2010
If I ever happen to meet this man, I will be temporarily taken aback by the lack of MSPaint eyes and mouth.
vexed alex's Avatar - Comment posted on 09/15/2009 23:06
vexed alex
What a bastard.
Los255's Avatar - Comment posted on 09/15/2009 23:08
Los255
Bobby Kotick is a God-Tier troll.
brownpig's Avatar - Comment posted on 09/15/2009 23:13
brownpig
I dont know anything about GH, but I don't see anything wrong with developers squeezing 500 dollars out of a highly replayable game, if the customer wants the add-ons.. I'd much rather spend 500 dollars play one great game that continuously grew, than play 10 50 dollar games that only last me a handful of hours.

I've put more that 300 hours into Killzone, and other people put hundreds of hours into COD or Halo or Madden or something... The game is worth a lot more to me than what I paid for it.
HerosPlayDumb's Avatar - Comment posted on 09/15/2009 23:13
HerosPlayDumb
@gatorsax I completely agree if I were ever to meet him I would be extremely confused as to why he doesn't have MSPaint eyes and mouth.
Harris Hatsworth's Avatar - Comment posted on 09/15/2009 23:18
Harris Hatsworth
I'm so glad that I don't care about shovelware or music games or I'd be giving this asshole my money. This is one of his less heinous statements since he's just telling people "Activision = money" but he's a complete cunt and his company preys on the ignorant and addicted.
GEMPadre036's Avatar - Comment posted on 09/15/2009 23:21
GEMPadre036
@ ace of knaves
How could you insult Hank Scorpio by comparing him to Kotick! Hank is actually a nice guy! Kotick, on the other hand, can barely be classified as a guy at all. He is more of a bubbling evil mass of... matter...
Even a Mr. Burns comparison would be inadequate.
KaL YoshiKa's Avatar - Comment posted on 09/15/2009 23:22
KaL YoshiKa
Well looks like Mordern Warfare 2 will be the last activision published game I buy for a long time...I doubt people will boycott Blizzard but this sort of anti-consumer mentality should be taken out back and shot.
Gene Eric's Avatar - Comment posted on 09/15/2009 23:27
Gene Eric
Fuck Kotick. See what a bastard he is. And you have people slamming me for making that point.
and Brownpig, you are a fool for contributing to this asshole's company
xaliqen's Avatar - Comment posted on 09/15/2009 23:28
xaliqen
This man makes hot-dogs from the flesh of orphans and pulls the souls of pious grandmothers into the vacuous cavity where his heart should be.

Evil-doers everywhere tremble at his magnificent crepuscular presence, and do-gooders scream as their organs slough onto the wet crimson surface of his nefarious wake.
Molo's Avatar - Comment posted on 09/15/2009 23:29
Molo
I wouldn't be surprised if game developers start charging a monthly fee to play ANY game online, such as MMOs. This further justifies my deep hatred for MMOs such as World of Warcraft, they're ruining my quality games!
bobyoko's Avatar - Comment posted on 09/15/2009 23:34
bobyoko
hey, now i can feel good about not buying a game this company has put out in the last ten years. mark my words, there is going to be a huge backlash because of this plastic guitar genre.

@xaliqen: way to get out the thesaurus. crepuscular?!? ha ha
Naim Master's Avatar - Comment posted on 09/15/2009 23:34
Naim Master
Gadyagatsarah!

@brownpig
You are part of the problem that's killing my favorite media, please turn off your 360, smash it as hard as you can and never ever play any videogame again. (and I'm counting cellphone Bejewed)
Darren Nakamura's Avatar - Comment posted on 09/15/2009 23:38
Darren Nakamura
Hahah. Oh Bobby Kotick. I'd love to meet this guy, especially if meeting him meant he would give me one or two million dollars.
Rankcanine's Avatar - Comment posted on 09/15/2009 23:39
Rankcanine
This makes me Appreciate EA alot more .
akathatoneguy's Avatar - Comment posted on 09/15/2009 23:42
akathatoneguy
No way! Kotick wants to make money off of games? Next thing I know, you'll be telling me that literally everyone in the business of making, producing and selling video games wants to make money off of them. How EVIL!!!
Dr Milkdad's Avatar - Comment posted on 09/15/2009 23:43
Dr Milkdad
I hate this guy more than Jack Thompson, because he actually has the power to do shitty things to the games industry.

I also have to comment every time on his god damn shit eating grin. Fuck that guy.
theredpepperofdoom's Avatar - Comment posted on 09/15/2009 23:45
theredpepperofdoom
Bobby Kotick must live in a parallel universe because I don't think he understands anything about economics.
Or maybe he is a professional troll.
whormongr's Avatar - Comment posted on 09/15/2009 23:45
whormongr
an people think that piracy is what's killing video games.
It is the lack of respect for consumers like this scumbag that's doing it.
Doos's Avatar - Comment posted on 09/15/2009 23:47
Doos
I think I'm going to go buy some stock.
StingingVelvet's Avatar - Comment posted on 09/15/2009 23:53
StingingVelvet
OH MY GOD A BUSINESS MAN WANTS TO MAKE MONEY!?!?!?!

Stop the presses.

Seriously people, Activision needs to make money to fund future projects. Do you want to play more games in the future? Then the games being released today need to make money.

YOU might not like Guitar Hero, or WoW, but obviously consumers in massive numbers do. When people stop paying $15 a month to play WoW, WoW will stop making money. When people stop buying song DLC and annual releases of Guitar Hero, Activision will stop releasing them.

It is a very simple equation... the success of these products proves the consumer accepts the price and product. If they didn't, they wouldn't be successful.

So what if he is happy about it? It's his job to be successful in these things and promote the company. You want them to be successful and make money too, because it means more awesome games for you to buy down the road.
Magesx's Avatar - Comment posted on 09/15/2009 23:54
Magesx
Wait, this statement actually kinda makes sense. There isn't really anything wrong with making money off selling DLC and stuff. Calm down, people.
Naim Master's Avatar - Comment posted on 09/15/2009 23:56
Naim Master
@stinging velvet and akathatoneguy
But Kotick rips-off consumers and then brag about it, money making is not the problem...

@bobyko
*sigh*
ran24's Avatar - Comment posted on 09/15/2009 23:59
ran24
Well you dumbasses gobble up damn near any dlc that's put out for a game you like, no matter how short, unimaginitive, or overpriced it is. That shit is highly profitable, and companies will continue to develop and overcharge for it as long as you support them.
Qraze's Avatar - Comment posted on 09/16/2009 00:01
Qraze
i hate activision. i don't even consider myself boycotting them, they have literally nothing i want and nothing i'm gonna support.
xaliqen's Avatar - Comment posted on 09/16/2009 00:13
xaliqen
Kotick's desk is a coffin filled with the hearts of developers who dared to have fun making video games.

Every night he calls forth two succubi so that he can then proceed to extract their tendons with his teeth and drape them around his shoulders as a necklace.

He sleeps in a bed enchanted with the sorrow of dying puppies and sips on a tonic made of eel's blood and the tears of heartbroken shepherds.
Everyday Legend's Avatar - Comment posted on 09/16/2009 00:18
Everyday Legend
@ StingingVelvet, akathatoneguy, brownpig

Great games? Where the fuck do you people live, Bizarro World!? Buy a vowel and a fucking clue, nimrods.

Okami is a great game.
Shadow Of The Colossus is a great game.
Katamari Damacy is a great game.
Team Fortress 2 is a great game.
Street Fighter is a great game.
Ikaruga is a great game.

NOTHING Activision has made in the past 7 years or so has been anything that I'd call "great" by any fucking stretch. If you call the turds that this asshole produces (as that is an asshole's main function) "great," you need to have your fucking head examined.

Making money is one thing. Making literal shit to make money is another. Watch this company rape the market, for the second time. Kotick is a bastard, and sure, there's a lot of them to be found wherever there's money to be made - but when you're that goddamn blatant about it, there's got to be some fucking justice somewhere down the line for folks like that. Everyone's out to make a profit, but a game should do what else but be fun? If you rip the fun out of it and make something solely for the generation of profit margin, then you rip out the soul of the product you're trying to shill, and people will eventually leave it all high and dry.

It happened in '83. It can happen again.

@ ran24
Bingo.

@ whormongr
Double bingo.
ender_x's Avatar - Comment posted on 09/16/2009 00:22
ender_x
IN OTHER NEWS, COMPANY MAKES PRODUCT FOR YOU TO BUY.
Harris Hatsworth's Avatar - Comment posted on 09/16/2009 00:23
Harris Hatsworth
Why are their trolls defending a person who has gone on record as saying that eliminating fun from making games is part of his mission and that games should be more expensive for no reason at all beyond kicking up his $14 million a year salary? Telling other people how much money being a dick makes him isn't as bad as him just being a dick but to actually have people come to his defense during one of his "I drink your milkshake!" moments is insanely stupid.
Magesx's Avatar - Comment posted on 09/16/2009 00:25
Magesx
ALL ACTIVISION GAMES ARE BAD BECAUSE ACTIVISION IS BAD BECAUSE I SAID SO.

FUCK THE DISAGREERS.
Everyday Legend's Avatar - Comment posted on 09/16/2009 00:29
Everyday Legend
@ ender_x
ALSO, COMPANY THINKS YOU'RE A BUNCH OF RETARDS FOR BUYING THE SHIT.
SO DO WE.
xaliqen's Avatar - Comment posted on 09/16/2009 00:30
xaliqen
As a gamer, I despise Bobby Kotick. As someone with a sense of humor, I love him. This man is comedy gold. He could only be better if he wore a cape around and made growling noises.
JynxShot's Avatar - Comment posted on 09/16/2009 00:32
JynxShot
I understand where he's coming from, but christ on a stick, he's just such a bastard.

Still buying MW2. Don't play WoW or Guitar Hero.
Qraze's Avatar - Comment posted on 09/16/2009 00:44
Qraze
if y'all want an action, do some matlockery and give me his address. i'll make a real goddam headline of him.
fykdig's Avatar - Comment posted on 09/16/2009 00:47
fykdig
im never buying another activision game, im disgusted by the greed ill rent rent their titles modern warfare included
ndschroede23's Avatar - Comment posted on 09/16/2009 00:48
ndschroede23
Can someone explain to me how making a shitton of products means the market is going to crash? English major was too busy readin' books and shit to take an econ class.
Cyber Altair's Avatar - Comment posted on 09/16/2009 00:53
Cyber Altair
Someone should seriously get him to shut the fuck up.
xaliqen's Avatar - Comment posted on 09/16/2009 01:01
xaliqen
@ndschroede23

That's okay, Kotick was too busy flaying the skin from pandas and newborns to take any classes whatsoever.
Electrium's Avatar - Comment posted on 09/16/2009 01:15
Electrium
Everyday Legend's post is truly legendary. You can't say it's "just business" to be so obsessed with money that you're willing to destroy the product you're in charge of.

50% operating margins WITHOUT a subscription fee like in WoW? Is that why he so badly feels the need to jack game prices up?! I want to smash cheap plastic instrument peripherals in his face.
ration's Avatar - Comment posted on 09/16/2009 01:23
ration
what an idiot, doesn't he know people are going to pirate his shit even more

because of this
kingtobo's Avatar - Comment posted on 09/16/2009 01:29
kingtobo
I can't wait for the day when people get tired of cheap plastic instruments and Activision's sequel/shovelware factory runs out of ideas to milk for sufficient profit. I know someone else said it on another post, but I never thought I would miss the days of EA this much.
CloneTrooper's Avatar - Comment posted on 09/16/2009 01:31
CloneTrooper
You know what, if they were worthwhile games and DLC that added alot to the game, then sure I can see that.

But when the CEO of a company publically states that he only wants Franchies that can be exploited till their so completely and utterly worthless...and then trying to rise the prices of these exploited games as high as he possibly can? That's crossing the line, getting into a Veyron and doing top speed to get as far away from the line as quick as possible.

Hell I've spent $196 AUD on Fallout 3, Special Edition and 5 DLC Packs....why? Because it was worth it, it added depth to the game and extended its life.

But things like Guitar Hero, that is have 2 or 3 games a year that are merely reskinned versions of the previous game and seem to add little to no new features per incarnation save the music......and releasing them with new instruments every time...thats just...yeah.

Eh, Im just gonna buy my Activision Games 2nd hand now...then trade them in to buy new copies of games from Ubi and EA and the likes that are worth the money.
xaliqen's Avatar - Comment posted on 09/16/2009 01:42
xaliqen
Watch as everyone's good will towards Activision burn burn burns.

They're going to have to spike Kotick's coffee with LSD and release him onto the freeway to get their fans back...
aaronf's Avatar - Comment posted on 09/16/2009 01:43
aaronf
This post reminds me of all the sports fans who complain about how much money guys like Kobe Bryant make, and then go to the store and spend $150 for a jersey with the guy's name on it and pay hundreds of dollars to go to the games.
WarZombie's Avatar - Comment posted on 09/16/2009 02:31
WarZombie
To think that Activision was once a good company that has been around since the 80's and was loved for their Tony Hawk and CoD (Before it was whored out). Now, only a few short years later and Kotick has single-handedly made everyone forget how evil EA once used to be (Well, EA's new attitude certainly helped, let's not forget about that). I really hope that one day, however long it may take, that Activision realizes exactly how much credibility they have lost with this douchebag in charge. Maybe it will never come, but as they say, "All good things (At least for Kotick) must come to an end."
shinryu's Avatar - Comment posted on 09/16/2009 02:59
shinryu
Music/rhythm games are a publisher's wet dream. They're relatively inexpensive and easy to develop (yay, Kurt Cobain!), the public loves them regardless of how stale they become, and all the innovation you need for a new one is to slap a few new tracks in them. Best of all, even if you pirate the game, you can't pirate the plastic guitar!

So yeah. Publishers like money. They're just weird like that.
Xzyliac's Avatar - Comment posted on 09/16/2009 02:59
Xzyliac
What-fucking- ever! If Acti makes something worth $500 I will do it. That said I give Acti $60 a year usually. Acti DLC is shit I use my Rock Band instruments for GH.

That said I know I have poured a shit ton of money into Rock Band. I have no problem with that.
Birdman the Friendly's Avatar - Comment posted on 09/16/2009 03:05
Birdman the Friendly
I don't actually recall the last time I bought an Activision game. Not because I hate them (though I do) but because they don't put anything out that interests me- but if one came out that did I would definitely think twice about purchasing it with the way Kotick has been carrying on lately. Activision don't deserve my hard earned money, and what was once a decent company has now become the worst in the industry. I feel sorry for all the saps who rush out to lick up every piece of Guitar Hero shit they squeeze out. It sickens me, and they're a large part of the problem.
IncipitOmega's Avatar - Comment posted on 09/16/2009 03:16
IncipitOmega
Snaketounge speaks again..children cover your ears.
And if possible your eyes too......

I gotta print a picture of him and stick it on my punching bag..


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