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#1 User is offline   core238 

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Posted 12 March 2010 - 07:38 AM

I looked for a thread on this, but could not find one. So I started a new thread.

No doubt everyone has been keeping track of the turmoil going on over at Activision since March 1, when they fired the heads of Infinity Ward. Well, apparently a new wrinkle has been added to this story . . . one that if true, definitely qualifies Activision as the evilest game company ever.


Why Call of Duty Developers Are Sticking Around

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With studio heads at Infinity Ward, the developer of Call of Duty: Modern Warfare and its sequel, no longer employed, you'd think all those remaining at the company would be leaving in mass exodus. They're not, apparently, and here's why.

Sources tell Kotaku that Modern Warfare publisher Activision is delaying paying Infinity Ward employees their royalties. Every employee who worked on Modern Warfare 2 is apparently in for royalties. Traditionally, Infinity Ward has paid staff regular or even "low" salaries, sources tell Kotaku, but offer ridiculous royalties to compensate.

Earlier this month, Infinity Ward studio heads Jason West and Vince Zampella, the men at the center of the Call of Duty developer drama, filed suit against Activision over claims they are owed "substantial royalty payments".

"Activision has refused to honor the terms of its agreements and is intentionally flouting the fundamental public policy of this State (California) that employers must pay their employees what they have rightfully earned," said the pair's attorney, Robert Schwartz, of law firm O'Melveny & Myers earlier this month. "Instead of thanking, lauding, or just plain paying Jason and Vince for giving Activision the most successful entertainment product ever offered to the public, last month Activision hired lawyers to conduct a pretextual 'investigation' into unstated and unsubstantiated charges of 'insubordination' and 'breach of fiduciary duty,' which then became the grounds for their termination on Monday, March 1st."

There have been rumors that Infinity Ward had been courting EA and other publishers before this brouhaha broke.

Sources tell Kotaku that Activision continues to delay royalties to other employees in order to keep them at the company. The morale at Infinity Ward is reportedly extremely low.

Last fall, Infinity Ward's Modern Warfare 2 launched, racking up, as this past January, over a billion dollars in sales.

Kotaku is following up with Activision and will update this post should the company comment.
http://kotaku.com/54...sticking-around
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#2 User is offline   whippingboy 

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Posted 12 March 2010 - 02:33 PM

If royalties are owed employees ... isn't a timeframe somewhere in their contract of when royalties are due?
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#3 User is offline   ClintonDMB 

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Posted 12 March 2010 - 08:57 PM

I have no idea of time frame. the overall tone of the situation seems to indicate the roalties or bonuses should have been paid by now. The claim on he part of the ousted IW founders is that the royalties were to be paid at anytime and they were fired in order for activision to not have to pay them said royalties.

All that being said it just indicates to me further that activision will NEVER see a dime of my money again. I'll buy their games used if I want them.

off topic for a second, this whole ordeal with these guys getting fired after producing a product that grossed a BILLION dollars is proof to that in many is not most job situations regardless o how well you do your job and how much money to make the company you mean shit to them.
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#4 User is offline   Rosseboi 

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Posted 13 March 2010 - 02:18 AM

I'm sooo glad this was brought up; thanks Core. I've been gagging to bring this to GR but didn't want to feel like a troll always posting negative B/A stuff.

View PostClintonDMB, on 13 March 2010 - 04:57 AM, said:

off topic for a second, this whole ordeal with these guys getting fired after producing a product that grossed a BILLION dollars is proof to that in many is not most job situations regardless o how well you do your job and how much money to make the company you mean shit to them.


Nail. Head. Hammer.

There was also something else a few weeks back about B/A closing the studio that made Guitar Hero or sacking most of it's staff - I can't remember which. Either way what a bunch of assholes - not only do they sack, as CDMB said - guys that made them BILLIONS with COD they also sack another set of guys that make them BILLIONS from GH.

Worse still they continue these franchises! In fact they're saturating them - there's several other CODs in development and who knows how many GH?

This is indicitive of a much larger topic and there's so much more that could be said on this & I'll make a post on that in the off topic later but I'll finish by saying you all know my views on B/A. I don't buy their products anymore, I can't bring myself to morally line their pockets and honestly you should consider doing the same.

This post has been edited by Rosseboi: 13 March 2010 - 02:21 AM

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#5 User is offline   thengodisseven 

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Posted 13 March 2010 - 03:06 AM

I figured this would be posted here by now. I've discussed it on other forums.

I'm sure these guys wanted a bit more autonomy as they had proven their success in spite of Activision, but the cheap suits wouldn't have it. I hope Activision dies a quick death. They are pretty far removed from the original company that made great 2600 games and the one that set standards for allowing developers to be in the credits of games.

But the real funny is how Activision couldn't just see things their way? I mean these guys created a standard AND a cash cow. And the cheap suits murdered that cow.

'Insubordination', my ass. I've not been paid by a bunch of jerks before. I took them to court along with a few of my coworkers, and the nonpaying twerps ended up paying triple damages. Of course the lawyers got a third, but it was very satisfying to stick it to a bunch of jerks for 3 times what they should have paid us in the first place.

lol, Blur is an Activision game. Kind of funny.
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#6 User is offline   Ross 

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Posted 13 March 2010 - 08:06 AM

Sounds like the Wal-Mart business model. :chuckle:

But all kidding aside, I think those Activision assclowns should roast for this one. I remember that blog Law of the Game even commented on this fiasco, and Joystiq (I think) even did a small story on it while contacting him for clarification. Apparently, there is a problem in how solid their contracts in providing a time frame for royalty payment, or something to that matter.

Anyway, it's sad IW can't just separate, get West and Zampella back and tell Activision exactly where to shove it.
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#7 User is offline   ClintonDMB 

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Posted 13 March 2010 - 08:42 AM

I would imagine that when the dust settles most of the staff at IW will depart and go to what ever new studio West and zampella found.
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#8 User is offline   Red Ronin 

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Posted 02 April 2010 - 07:05 AM

As much as we all hate the turmoil of writer's strikes, director's strikes and actor's strikes in Hollywood, this is precisely why those guys have unions. In most modern businesses, the people that run them have figured out that in the end, happy employees produce better products. But there still remain those assclowns who insist upon grinding their employees into the ground under an iron-heeled boot. They mistakenly believe it was their mistreatment of the employees that yielded good results, as opposed to the talent of those employees showing forth in spite of that treatment.

People who are thoroughly passionate about making videogames will often jump at any opportunity - even a bad one - to produce those games. The same has been happening in the music industries for decades. The 'suits' count on a new crop of hungry, determined and ultimately desperate talents coming in the door right behind the last batch they used up and cast aside like so much trash.

Activision has treated their employees poorly for over a decade. I used to work for eToys in Santa Monica CA. There were guys who worked there who also worked at Activision across the parking lot of that business center. Many of them were game testers who were paid paltry sums - but that was their primary employment. They literally needed the second job at eToys (which paid better) to make ends meet.

There have been attempts to circumvent this Cycle of Evil within the videogame industry. People who were screwed by Activision or others tried to create cooperatives of videogaming talent that would work outside the major players and simply take on contractual work. But eventually it seems each of those companies ends up being absorbed by a larger company anyway.

I've long believed that for most industries, Labor Unions are no longer necessary. Unions should be there to protect good employees from evil employers. The videogame industry obviously needs a proper union. Hopefully a viable one will arise within the next decade. :dismal: Take care, happy gaming, enjoy life!

Unta Glebin Gloutin Globin,

Red Ronin, The Cybernetic Samurai
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#9 User is offline   core238 

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Posted 02 April 2010 - 10:20 PM

View PostRed Ronin, on 02 April 2010 - 10:05 AM, said:

As much as we all hate the turmoil of writer's strikes, director's strikes and actor's strikes in Hollywood, this is precisely why those guys have unions. In most modern businesses, the people that run them have figured out that in the end, happy employees produce better products. But there still remain those assclowns who insist upon grinding their employees into the ground under an iron-heeled boot. They mistakenly believe it was their mistreatment of the employees that yielded good results, as opposed to the talent of those employees showing forth in spite of that treatment.

People who are thoroughly passionate about making videogames will often jump at any opportunity - even a bad one - to produce those games. The same has been happening in the music industries for decades. The 'suits' count on a new crop of hungry, determined and ultimately desperate talents coming in the door right behind the last batch they used up and cast aside like so much trash.

Activision has treated their employees poorly for over a decade. I used to work for eToys in Santa Monica CA. There were guys who worked there who also worked at Activision across the parking lot of that business center. Many of them were game testers who were paid paltry sums - but that was their primary employment. They literally needed the second job at eToys (which paid better) to make ends meet.

There have been attempts to circumvent this Cycle of Evil within the videogame industry. People who were screwed by Activision or others tried to create cooperatives of videogaming talent that would work outside the major players and simply take on contractual work. But eventually it seems each of those companies ends up being absorbed by a larger company anyway.

I've long believed that for most industries, Labor Unions are no longer necessary. Unions should be there to protect good employees from evil employers. The videogame industry obviously needs a proper union. Hopefully a viable one will arise within the next decade. :dismal: Take care, happy gaming, enjoy life!

Unta Glebin Gloutin Globin,

Red Ronin, The Cybernetic Samurai

It's funny you bring that exact statement up. I remember seeing a story in the news - maybe it was late last year, or maybe it was early last year . . . or maybe it was late 2008. Either way, apparently the heads at Infinity Ward were expected to get themselves into a bit of hot water, for poking fun at Activision's corporate policy of fear. Apparently in a earnings call a couple weeks before, Bobby Kotick laid it out to investors (and I'm paraphrasing), that part of his pillars of success at Activision, was cultivating an atmosphere of fear among the developers. That devs who were scared for their jobs, performed better. I'm not making this shit up, this is actually corporate policy at Activision, out of the mouth of the company's CEO, at an investor's earnings call.

And what you said above, strikes a chord. Activision, from the highest levels down, seriously believe that by terrorizing their employees, they get better performing product. Maybe they are right. I know since EA has largely changed it's ways, their earnings have been almost in free fall. Even so, I can name off the top of my head, about a dozen recent EA games that have gone into my permanent collection, they were either so good, so unique or so inspired in their creation. Meanwhile, over at Activision, were it not for Infinity Ward's Call of Duty and the occasional one-of titles, like Radical Entertainment's Prototype, there is seriously nothing the company produces that I would ever buy - much less keep in my permanent collection. Even Bizarre Creations, who's Project Gotham Racing games I have loved since Metropolis Street Racer on Dreamcast, don't seem to be outputting their usual quality. I've been in the Blur beta for a while now, and just stopped playing the thing after the a few days in. Blur is fun in an almost generic manner. It most certainly is not fun on the level that I have come to expect out of Bizarre Creations, over the last decade. Yet at the same time, with Activision's marketing muscle behind it, I have no doubt Blur will easily outsell every PGR title made to date.

So maybe Bobby Kotick is right. Maybe inducing fear in employees is good for business. Even so, as much fear, loathing, pain, suffering and general turmoil and unrest as there is in the world today (or at any given time, for that matter), how can one decide to intentionally add more to that, as a form of standard operating procedure, like changing a light bulb or taking out the trash on Tuesday? Can you imagine the checklist Activision middle management have to go down on a weekly todo list:

  • MONDAY - meet with Bob in accounting to discuss the TPS reports
  • TUESDAY - lunch with Al, to discuss marketing
  • WEDNESDAY - pick up the kids from soccer
  • THURSDAY - discussion with department heads concerning our E3 booth
  • FRIDAY - remind our devs in the trenches, that their continued employment, along with their health benefits and the overall well being of their families, is highly dependant on them coming in to work over the holiday weekend
  • SATURDAY - golf on with CEO
  • SUNDAY - celebrate Easter :)

Part of me has to believe that the gains are only short term - there will be no long term payoff in Activision's future, from their current policies.


EDIT - Found Them


Activision Blizzard CEO Bobby Kotick Talks Gaming, Hates Happy People

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Kotick's real bombshell of a statement didn't hit until he stopped talking about gaming technology and started discussing his views on corporate culture. According to Gamespot, Kotick "pointed to changes he implemented in the past as being particularly beneficial, such as designing the employee incentive program so it 'really rewards profit and nothing else.'"

According to the CEO, studio heads now regularly argue with CFO's over the allocation of funds, each competing with the others for cash. If this doesn't sound like much fun—and it doesn't—that's Bobby's stated plan. "We have a real culture of thrift," Kotick said. "The goal that I had in bringing a lot of the packaged goods folks into Activision about 10 years ago was to take all the fun out of making video games."

The CEO's long-term vision, in his own words, is to instill the corporate culture with "skepticism, pessimism, and fear...We are very good at keeping people focused on the deep depression." You'd think the man might've learned his lesson when indivuals and press organizations decried his plan to strictly focus on games that "have the potential to be exploited every year on every platform with clear sequel potential and have the potential to become $100 million dollar franchises." Evidently not. In Bobby's world, the best games are produced when every employee is in a constate state of fear, projects are always on the brink of being killed, the ability to generate profit is the only yardstick by which an employee's value is measured, and—let's not forget—making video games is not fun.



Infinity Ward Pokes Fun at Bobby Kotick

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He made clear that he has designed his company to treat employees so that it "really rewards profit and nothing else," which okay, dude's running a business, so that's not surprising. But then Kotick said some somewhat creepy stuff, describing how he maintains a company culture that is grounded in feelings of "skepticism, pessimism and fear."

Kotick thinks that's appropriate considering our current economic condition, but what ever happened to a happy worker is a good worker?

I'm guessing the folks at Inifnity Ward (otherwise known as I-Dub) are happy enough, because they don't seem to be skeptical, pessimistic or fearful, certainly not of Kotick. During a presentation at a Modern Warfare 2 multiplayer press event, community manager Robert Bowling showed off the game's custom class selection menu, which included three classes he possibly created named Skepticism, Pessimism and Fear.

Fear, apparently, carries an M4A1, a rocket launcher, two flash grenades, Tactical Insertion and Perks for increased melee distance, easier Killstreaks and "full resupply from dead enemies."

Do you see this, Bobby Kotick? These people are not afraid. At least until you give them a personal phone call and scare the living bejeezus out of them, they are not afraid.


After reading the second article concerning Infinity Ward's little prank, I cannot help but wonder if even then, the events that were leading up to the current fiasco, were silently brewing in the office of Booby Kotick. When you consider that most people who buy Call of Duty games, have no idea who makes the games, or even the fact of a lack in quality between every other iteration, perhaps this little gag is ultimately what cost those guys their jobs? It's not like anyone outside of the core gaming community is ever going to know Call of Duty is not being made by the series originators. Look at Guitar Hero. The guys who used to make Tony Hawk are making Guitar Hero, while the Harmonix has moved onto making better things with Rock Band. Not that anyone seems to have noticed, as Guitar Hero easily outsells Rock Band.

So I wonder if the thought every crossed Bobby Kotick's mind, even back in September of 2009 - bring in a new team to do Call of Duty, and fire Infinity Ward heads, and anyone else "stupid" enough to side with them.

This post has been edited by core238: 02 April 2010 - 10:47 PM

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#10 User is offline   Ross 

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Posted 03 April 2010 - 05:27 AM

Someone needs to go and break his legs one night to instill some fear in his ass.
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#11 User is offline   Rosseboi 

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Posted 05 April 2010 - 02:47 AM

I'm sure I recall glancing over an article a while back where it said Activision started sacking peeps responsible for Guitar Hero (or rock band) because the series was 'stagnating' in sales.....even though is made truly silly silly figure money in the past.

I mean yeah, no shit, you think!?! When you saturate a product it quickly becomes repetitive - I lost count of all the different versions of that thing.

CEO's don't really think about long term, only short term because if they help the company stock rocket - even for a short term - it helps them move up the corporate ladder ie: moved to better paid jobs in the next company. It's the way the world works today and part of the reason you see many western companies (like Volvo just now) sold off to the chinese at 1/3 it's original buying price. There's no long term agendas in modern business it's all short term stock rises.


Meh :S This guy don't have a clue. Give it time & activision will stagenate & got the way of EA did mark my words. The tragedy will be that this guy will have retired and long since banked his millions.....sigh

This post has been edited by Rosseboi: 05 April 2010 - 02:50 AM

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#12 User is offline   Red Ronin 

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Posted 17 April 2010 - 07:25 AM

"...really rewards profit and nothing else."

The company I work for currently does the same thing to their outside sales force. Rather than getting a commission based upon the overall sales in their territory... Or commission based upon overall profit in their territory... Their commission is based upon the percentage of growth within the territory as compared to the previous year. So even if you have high sales, even if you remain profitable, you get no commission without growth in profit margin. Further, they must put forth a projection of their expected growth of sales within their territory and get penalties assessed for not meeting them on a per customer basis. Things must be really hard (or people are a lot more dumb than I give them credit for) to accept such terms of employment. :no:

"...skepticism, pessimism and fear."

I'd have flattened the tires on this guy's limo the instant I got out of that meeting.
:burningmad:

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#13 User is offline   core238 

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Posted 10 May 2010 - 03:57 AM

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