Activision Blizzard has got some prime time with the Overwatch League and other games. But that is not enough as the Fortnite’s popularity is digging holes in the profits and revenue of Activision Blizzard. As the financial condition of this game developer is deteriorating with the immense popularity of Epic Game’s Fortnite, they have decided to lay off hundreds of employees as a cost-cutting program. A few days ago, it was just a rumor, but now it is being backed by some credible sources about the upcoming layoffs in the company.
Privately-Backed Epic Games own the Fortnite and offers the game for free. The game is free but the in-game items are not, and that’s how the company is making money, unlike Activision blizzard. As of now, Fortnite has 125 million players, and that is huge compared to the Overwatch from Activision Blizzard. In the Q3 2018 conference call, the company mentioned that the majority of the players are leaving their flagship games, affecting the overall revenue streams and player base. As the fortnight is free to play the multiplayer multi-platform game, it is quite easy for the company to overtake giants like Overwatch and other games.
After disappointing sales figures of Destiny 2: Forsaken game, the company decided to part ways with Bungie gaming, the developer of Destiny series of games. After that decision, the company stock went down by 10%. With the declining revenues, profits and sales figures, it is evident that the rumors of lay-off season at Activision Blizzard might be true at all. We don’t have the information if the lay off season has started or not, but it will begin soon in a few days or maybe the next months.