Microsoft and Activision created a new team within Blizzard to focus on developing smaller, AA titles based on existing franchises. Read on to learn more about Microsoft's goals and potential projects within the team.

Microsoft and Activision to Focus on ‘AA’ Games

King Employees to Power Smaller Blizzard Titles

Microsoft and Activision have reportedly created a new team within Blizzard that is primarily staffed by King employees, according to Jez Corden of Windows Central. This move comes after Microsoft’s acquisition of Activision Blizzard in 2023, giving the company access to a vast library of popular game IPs like Diablo and World of Warcraft.

According to Corden, this new team’s objective is to work on AA games based on existing franchises within Blizzard universes. AA games are smaller in scope and budget than AAA releases, and with King being renowned for mobile hits like Candy Crush and Farm Heroes, the speculation is that the new team will focus on developing these games for mobile.

King does have experience with developing mobile games based on existing IP. They previously developed Crash Bandicoot: On the Run!, an endless runner akin to Temple Run, in 2021, and announced plans for a Call of Duty mobile game in 2017. While the former has since been discontinued, the latter’s progress remains unclear, especially considering Call of Duty: Mobile is developed by a separate team.

Microsoft Aims to Strengthen Their Mobile Presence

At Gamescom 2023, Microsoft Gaming CEO Phil Spencer, in an interview with Eurogamer, emphasized the critical role of mobile gaming in Xbox’s growth strategy. He cited mobile capabilities as the primary driver behind Microsoft’s $68.7 billion bid for Activision Blizzard.

Spencer explained, "The reason we’re in the acquisition discussion with Activision Blizzard King is around their mobile capability because it’s just something we don’t have… We obviously already have Call of Duty on our platform; we already have Diablo on our platform. So it’s not about new games that Xbox players don’t have access to today. It is about a capability on mobile, and some broader ambitions that we have on the largest gaming platform, which is mobile phones."

To further strengthen their gaming presence, Microsoft is actively developing a mobile store to rival Apple and Google. While specific details remain undisclosed, Spencer suggested at CCXP 2023 that it would release sooner rather than "multiple years away."

With the escalating costs of AAA game development, Microsoft is exploring a new approach. According to Jez Corden, the company plans to experiment with smaller teams within its larger structure to address this growing change.

While specifics remain under wraps, the formation of this new team has made fans speculate as to what they could be working on. Possibilities include scaled-down versions of popular franchises like World of Warcraft, similar to League of Legends’ mobile counterpart, Wildrift. They could also work on a mobile Overwatch experience akin to Apex Legends Mobile or Call of Duty: Mobile.