Activision and Microsoft have reportedly approved the creation of a new “smaller” team within Blizzard Entertainment – mostly comprised of employees from Activision’s mobile-focused King division – to develop new “AA” games based on existing Blizzard properties.
That’s according to Windows Central’s Jez Corden, whose sources say the new initiative reflects an eagerness at Microsoft to “explore and experiment” with smaller teams within the larger organisation, in response to the “monstrously ballooning costs” of AAA game development.
Corden notes Microsoft has seen success with the likes of Sea of Thieves and Grounded, both built by comparatively small teams – and, of course, 2023’s Hi-Fi Rush, created by a small team within Tango Gameworks, was heralded as a “break out hit” by Microsoft after its release.
And if you’re wondering why Microsoft closed Tango Gameworks in May if the studio had already demonstrated success using a development approach it was looking to adopt further, Corden claims Microsoft see Tango as fitting into its new strategy – but its geographical location made “inter-studio collaboration logistically difficult”.