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Activision’s MAU Continues to Register Impressive Growth

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Blizzard’s rising monthly active users

In 1Q16, Activision Blizzard (ATVI) completed its acquisition of King Digital (KING). This acquisition has helped Activision’s MAU (monthly active users) growth reach impressive levels for the past two quarters.

At the end of 2Q16, Activision Blizzard had over 491 million MAUs. Blizzard also had the biggest “online player community” in 2Q16, with over 33 million users, which represents a 29% rise quarter-over-quarter and 13% increase YoY (year-over-year).

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What’s driving MAU?

Activision’s game franchise Overwatch was successfully launched in 2Q16. Overwatch, World of Warcraft, and Hearthstone were all instrumental in increasing the company’s MAU in the last quarter. Overwatch, which was launched in May 2016, currently has over 15 million players and is also popular in Asian countries including China (FXI) and Korea (EWY).

Activision stated, “In China, Overwatch broke the previous record set by Diablo III as the fastest-selling PC game in the market’s history. Overwatch also currently holds the number one position in Korean Internet Game Rooms with over 30% share of play time.”

Activision continues to have four of the top ten games on next-generation consoles like Xbox (MSFT) and PlayStation (SNE). Driven by seasonal trends and launch timing, King’s MAU fell to 409 million in 2Q16. But for the tenth consecutive quarter, King had three of the top 15 grossing titles in the United States in the mobile app store.

Now let’s discuss user engagement in greater detail.

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