How much money does Blizzard get from WoW???

85 Orc Shaman
1950
Hey guys, i have been doing some calculations, and i find that Blizzard have SO FAR made $11,175,000,000, from WoW ALONE..... I dont know if my answer is 100% real, but this is how i worked it out....

They say that they have 15,000,000 subscribers, and lets say roughly they have played a year each, so that is 42.50 x 6 = $255 a year, (2 month subscriptions).
255 x 15,000,000 = 3,825,000,000

Subscriptions = 3,825,000,000

Game expansions, WoW normal + Burning Crusade = $30, Wotlk = $60, Cataclysm = $60
30+60+60=150
150x15,000,000= 2,250,000,000

Game Expansions = 2,250,000,000

And some players, lets say 5,000,000 have played about 4 years, so 255x4=1,020
1,020x5,000,000=5,100,000,000

4-Year+ players = 5,100,000,000

3,825,000,000+2,250,000,000+5,100,000,000= $11,175,000,000

Blizzard could have made that much SO FAR, but not exactly that much, as not all 15,000,000 players would have Wotlk and Cataclysm, so they would have AT LEAST have made 10Billion Bucks so far....

What do u guys think????

Thanks :)

P.S This is Australian Dollars
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That Australian dollars explains some of the apparently inflated prices. However, last I saw Blizz announced 12 million, not 15...
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37 Dwarf Mage
120
You are leaving out overhead, payroll, benefits, rent, utilities, insurance, taxes etc. Businesses are not run on napkin math.
Edited by Barale on 3/5/2011 12:43 AM PST
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100 Worgen Warrior
13785
finance.yahoo.com
You can figure out.
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82 Blood Elf Paladin
6125
Oh, son. You're so off.

Here's an article that will give you a better sense of how much revenue WoW generates: http://ocunwired.ocregister.com/2010/11/08/blizzards-world-of-warcraft-revenue-down/
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37 Dwarf Mage
120
03/05/2011 12:46 AMPosted by Bobsagetas
You are leaving out overhead, payroll, benefits, rent, utilities, insurance, taxes etc. Businesses are not run on napkin math.


So? They've still made more money then Jesus yet won't give us 1 time free name changes or character transfers.


Jesus got a smaller allowance from Joseph than my stepkids get.
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85 Blood Elf Mage
11035
Very way off. The most recent sub numbers were 12 million, not 15 million. Most of those subs are from Asia. In Asia they do not pay $15 a month. I do not remember the exact amount but I seem to remember it was varying based on time played, but averaged to less than $15.

Also, in Asia they do not buy box copies of the game, they merely pay for their subscription. A few months before Cataclysm was released news that WoW had sold a total of 8 million boxed copies which includes vanilla, BC, and Wrath.
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100 Worgen Warrior
13785
Blizzard is currently the head in the 3d mmorpg industry in terms of revenue.
But they also been having a huge expenses/overhead pool,
especially for the past year and then, when some new project is launching( says Titan etc).
Their Asian divisions overall hasnt contribute much mergin yet ( China accounts for 5 million WoW accounts out of total 11 million worldwide, contribution from 2010 is only 6% revenue).
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85 Orc Shaman
1950
Oh, son. You're so off.

Here's an article that will give you a better sense of how much revenue WoW generates: http://ocunwired.ocregister.com/2010/11/08/blizzards-world-of-warcraft-revenue-down/


Ahhk, lol i just tried and i didnt really think about the financial stuff lol im just 15 :P i just added togeather what i thought was right :P.....plus i also forgot to ass character transfer,changes etc.

thanks anyway
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100 Worgen Warrior
13785
Very way off. The most recent sub numbers were 12 million, not 15 million. Most of those subs are from Asia. In Asia they do not pay $15 a month. I do not remember the exact amount but I seem to remember it was varying based on time played, but averaged to less than $15.

Also, in Asia they do not buy box copies of the game, they merely pay for their subscription. A few months before Cataclysm was released news that WoW had sold a total of 8 million boxed copies which includes vanilla, BC, and Wrath.

China is a very different issue. Blizzard is not allowed by the protectism policy to start their own business alone. So Netease is the partner they are currently cororating with, which after all, Blizzard have to share their revenue. Plus, the Chinese governmental authorities were seeking troubles in their local operations for various excuses (e.g. they claimed the contents of WoW had bad influences over the young), thus the updates of TBC and WLK were serverely put off for 9 months and over a year.
That's why the future in WoW China is in a gloomy outlook.
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85 Blood Elf Mage
11035
Very way off. The most recent sub numbers were 12 million, not 15 million. Most of those subs are from Asia. In Asia they do not pay $15 a month. I do not remember the exact amount but I seem to remember it was varying based on time played, but averaged to less than $15.

Also, in Asia they do not buy box copies of the game, they merely pay for their subscription. A few months before Cataclysm was released news that WoW had sold a total of 8 million boxed copies which includes vanilla, BC, and Wrath.

China is a very different issue. Blizzard is not allowed by the protectism policy to start their own business alone. So Netease is the partner they are currently cororating with, which after all, Blizzard have to share their revenue. Plus, the Chinese governmental authorities were seeking troubles in their local operations for various excuses (e.g. they claimed the contents of WoW had bad influences over the young), thus the updates of TBC and WLK were serverely put off for 9 months and over a year.
That's why the future in WoW China is in a gloomy outlook.

Yes, I know all about China, The9, NetEase, etc. But it's not just China, all subscribers in Asia don't buy box copies and pay less than $15 a month.
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85 Blood Elf Paladin
6765
Sure Blizzard has made lots of money, but they also spend tons of money in order to make it.

Gross =/= net.

Suppose I were a contractor and you decided to contract me to build your house for 250k. Do you think I would come out of that deal with anything close to 250k? I would spend the vast majority of the money actually building your house, in the end only getting a small % of it for myself.

Similarly, Blizzard may have alot of income, but their expenditures are astronomical as well. It's highly inaccurate to say they have made 10 billion. That much may have indeed passed through their hands, but the end figure after paying for servers, rent, maintenance, development, salaries, benefits, insurance, and a multitude of other miscellaneous and necessary expenses will be only a tiny fraction of that number. Even then, that money isn't going all to one, or even a few people. It's going to be split up amongst thousands of shareholders who invested in the company.

A few will get rich from this process, but it will be those who invested alot of time and/or money into Blizzard in the first place. There isn't a single thing wrong with that.
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82 Blood Elf Paladin
6125
03/05/2011 4:02 AMPosted by Shuggah
You are leaving out overhead, payroll, benefits, rent, utilities, insurance, taxes etc. Businesses are not run on napkin math.


This man is correct. You are not including overhead expenses.

Also, I'm sure they fudge the numbers a bit to make shareholders happy. There's no way there are 15 million *active* players. They are including lapsed subs, inactive accounts, and cancellations in there somewhere.


If you're curious, here's some very interesting analysis:

http://daeity.blogspot.com/2011/02/active-subscriptions-revisited-part-1.html
http://daeity.blogspot.com/2011/02/active-subscriptions-revisited-part-2.html

Of course, you must take it with a grain of salt, but it's certainly insightful.

Either way, you're correct that "active subscriptions" != "active players."
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