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Why Activision is supreme console game provider.

|Includes: Activision Blizzard, Inc (ATVI), EA, MSFT, SNE

            We'll start simple with what I know. Recently video game profits have been down. GameStop Corp.'s (NYSE:GME) second quarter earnings dropped 23%. So what does this mean to Activision? Within 24 hours of Modern Warfare 2 realease back in Nov, 2009 Activision sold 4.7 million copies worldwide. On June 15, 2010, the game had sold over 20 million copies worldwide.     

            Treyarch's Black Ops which feeds off of the Call of Duty franchise, however does not hold the title of ''Modern Warfare''. Black Ops has sold 7 million copies, 5.6 million in the U.S. and 1.4 million in the UK with its 24 hour appearance. Within six weeks of its release, Activision reported Black Ops had earned $1 billion in sales. This time Activision and Infinity Ward which built the Modern Warfare name is due to release Call of Duty Modern Warfare 3 in Nov. This release will break every release record by any game.

            But game sales are down right? Absolutely, but why? Each year or so a new Call of Duty game is released. Infinity Ward releases its Modern Warfare, Treyarch releases its World at War. Then Infinity with its MW2, Treyarch with its Black ops, and now MW3. The point is, that each time one of these games are released all other companies come up short and the consumer has no need to purchase any other game. EA has come up short over and over with its Battlefield Bad Company series. Its release of Battlefield 3 is due in October, which is one month before Modern Warfare 3. Gee I wonder why.

My first article, short but to the point.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.