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An interesting news piece discusses how someone attempted to remove microtransactions from Blizzard games. A move that could have changed the company’s future.
From Jason Schreier’s recent book “Play Nice: The Rise, Fall, and Future of Blizzard Entertainment,” comes an interview with former Blizzard president Mike Ybarra. According to the final chapter of the book, he wanted to cut microtransactions in Blizzard games before Microsoft’s acquisition.
More specifically, he speaks about Diablo IV and Overwatch 2, prior to their launch. A “battle” that, according to the ex-president, cost him the ire of many within Blizzard. Even though Ybarra was not particularly appreciated when he took the position in 2021. Nor was he well-received in his current role as CEO of PrizePicks, a sports betting app.
The two games mentioned by Ybarra are certainly very peculiar regarding microtransactions. On one hand, we have Overwatch 2, a clear failure for Blizzard, opting for a F2P model and excessive microtransactions.
On the other hand, Diablo IV offers microtransactions mainly at an aesthetic level, without affecting the gameplay experience. A non-aggressive approach that has been well received by players. This even led to significant revenue success, with $150 million just from skins, and a solid first expansion with Vessel of Hatred.
The acquisition of Activision Blizzard was finalized at the end of 2023, but by mid-2024, we have certainly seen some internal changes. The most notable were the numerous layoffs, which have already impacted Blizzard with 1,900 job losses.
In short, Xbox is looking to recover costs, and microtransactions are a significant source of long-term revenue. We will soon discover Xbox’s plans for 2025, but it is certainly possible to see World of Warcraft join Xbox Game Pass offerings soon.
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