TOKYO: Electronic Arts, the company behind Fifa and other big name franchises like Need for Speed and Dragon Age, came out in front and went past one of the market leaders, Activision.
Electronic Arts Closed the day with 1.18 points with 47.24 per share. The company is now sitting on a $14.40 billion market capitalization, going past market rival Activision, which has the market cap of $14.14 billion.
In short, EA is now more valuable than Call of Duty publisher, Activision.
2014 has been a really good year for EA as two of their biggest franchises, Fifa and Dragon Age, met with a huge success.
However, when it comes to Activision, they published the heavily marketed Destiny, which wasn’t really as successful as the company hoped for.
Destiny came out just a few months ago and it was expected to be next big IP. With a huge marketing budget, Destiny was seen everywhere. On TV, on the Time Square and all over the internet but a review embargo indicated that something is up which later proved to be true as mediocre review scores disappointed many.
This caused Activision to take a hit in the stock market, which they haven’t yet recovered from. Hopefully, Activision and others like them will learn their lesson from this and avoid hyping up a game if they can’t back it up.