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Bungie Developing ‘Sci-Fantasy’ Shooter Code-Named ‘Destiny’ for Xbox 360 and Next-Gen Consoles

In: Business and Management

Submitted By sholdorf
Words 847
Pages 4
Bungie Developing ‘Sci-Fantasy’ Shooter Code-Named ‘Destiny’ For Xbox 360 And Next-Gen Consoles
Topic:
New product planning to develop a new Sci-Fantasy Shooter for Xbox 360 and next generation consoles.
Introduction:
Activision and Bungie, the developer behind Xbox exclusive Halo franchise, has teamed up together to create a new IP code-named “Destiny”. The new product was leaked during a lawsuit over Activision’s Call of Duty franchise. The new product contains a four-part franchise which has games released every other year beginning in the fall of 2013. The games will first be exclusively for the Xbox 360, and then later for the Xbox 720, PlayStation, and the PC. If Bungie meets specific quality and budget milestones, along with a $2.5 million-per-year bonus if “Destiny” scores 90 or better out of 100 on GameRankings.com, the developer would be entitled to 20% to 35% royalties after expenses and development costs for each title. However, if “Destiny” fails to sell at least five million units in the first six months of release Activision has the right to terminate the contract without penalty.
For this new product to have a fighting chance of survival the developers would have to create a Strategic Business Plan which would map out the supporting program formulations and implementation of the new product. Also, the management team would need to evaluate the market segments in order to meet the high expectations of the game scores on GameRankings.com.
Analysis:
Developing a new product in a market that already has long-running franchises such as Call of Duty, Halo, and Assassin’s Creed, can be challenging. Bungie has reportedly been developing a brand new idea to enter into the market. Their Business Strategic Planning touches on developing supporting programs, which do not mirror on any other franchises’ technology or IP. Bungie has said that this will be their position for the foreseeable future. They are carefully managing the details and trying to take preventative measures when it comes to poor implementation. Although the contract was leaked Bungie has no intention of releasing any information early due to the fact that it could be detrimental to the implementation of the new product.
Bungie and Activision must also take into account the concept of Targeting. The developers understand that the game will first exclusively be for the Xbox 360 and they will have to target this market, however, they should look into the size and growth potential when adding the Xbox 720 and also PlayStation and the PC. Bungie will need to research the other competing franchises to make sure that their idea is still following the route to which they desired, a fresh-new ‘sci-fantasy’ shooter that has not been done before. The ease of entering the market with a new idea is not an issue; the issue is to how receptive their audience will be to that idea. Bungie understands that this is a big undertaking however; it will open a lot of doors if this is a success. This leads to better access for the multiple games that would branch off of “Destiny”, which the contract mentions that would be offered in the future.
Lessons Learned:
After doing this analysis I have learned a couple things. First, not to jump the gun, what I am getting at here is that even though an idea has been leaked, not to stress out. Bungie and Activision’s idea about a new ‘sci-fantasy’ was leaked however they did not release any more information concerning the development. This is beneficial in the long run because it would not hinder the implementation of the new product. If you release things too quickly you could end up ruining something that had the potential for growth with the new product.
The second thing I learned from this analysis is that you have to look outside the box when developing something new. Bungie is creating something brand new that is not linked to anything previously done by their competitors or themselves. They are branching off and trying something new which has the potential of being a great success. The benefit to marketing it to such an exclusive market, Xbox 360, lets the developer know if this has a chance to be successful in other markets, such as PlayStation and on the PC.
Conclusion:
Bungie and Activision are developing a new ‘sci-fantasy’ game which has the potential of being a great success. If they stick to their target audience and follow their Business Strategic Plan “Destiny” could end up on top and follow in the footsteps of other successful franchises. If “Destiny” is a great success it will open the door to many more opportunities for Bungie and Activision with their future games.
References:
Kain, Erik (May 2012). Bungie Developing ‘Sci-Fantasy’ Shooter Code-Named ‘Destiny’ For Xbox 360 And Next-Gen Consoles. Retriieved May 22, 2012, from Forbes Magazine, Website: http://www.forbes.com/sites/erikkain/2012/05/22/bungie-developing-sci-fantasy-shooter-code-named-destiny-for-xbox-360-and-next-gen-consoles/

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