After the separation from Bungie, publisher Activision seems to be facing lengthy processes. Initial class action lawsuits are being filed by investors. What is going on with the creators of Destiny 2?
This is the current status: Hardly anyone expected that at the beginning of the month the developer studio Bungie and publisher Activision would suddenly announce their separation. The rights to Destiny will remain entirely with Bungie, which will continue its brand independently.
The surprise was great – also for numerous investors. Some major law firms have since begun investigations into whether Activision was involved in “business practices not in accordance with the law.” However, the first lawsuits against the publisher have now emerged.
Who is suing Activision? Numerous investors feel cheated out of their money. Therefore, the first class action lawsuits have now been filed through the law firms Rosen Law Firm and Shaw Law Firm. The Rosen Law Firm, in particular, is considered an expert in this field and is among the three oldest law firms in the USA.
Interests of investors who acquired securities of Activision Blizzard from August 2, 2018, to January 10, 2019, are being represented. Affected parties still have time until mid-March to join the lawsuit.
What is Activision accused of? Activision Blizzard is specifically accused of making false and misleading statements in public and to investors, although it apparently knew about the impending separation. However, examples of such statements are not provided.
Why is there a lawsuit? According to the lawsuits, investors lost money due to these statements from Activision. After the surprising announcement of the separation, Activision’s stock plunged by nearly 10%, resulting in the loss that many investors are unwilling to accept.
Alongside titles like Call of Duty, the Destiny franchise was one of the largest pillars in Activision’s portfolio. The loss of a franchise that became the best-selling new IP at launch and made $500 million on its first day had significant impacts on the stock price.
What happens next? It is currently difficult to assess whether the accusations and lawsuits will hold up in court. What is certain is that Activision can likely expect lengthy processes. Extensive and in-depth investigations will likely take place, which can also take years in similar cases.
The matter remains exciting, and we will continue to follow it here at MeinMMO for you. As for the future of Destiny 2, it is at least clear until August 2019. But then it will also be interesting around the Destiny franchise: What happens to Destiny 2 after the Annual Pass in the fall?
What do you think about how the processes for Activision will proceed?
