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Blizzard made $26 million with WoW Authenticators (Updated)

Posted Jan 2, 2012 at 9:15AM EST by Harrison E

Listed in: News Tags: Activision, Blizzard, blizzard authenticator, World of Warcraft, wow authenticator
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Editor’s Note:
We looked into this story a little further, and it looks like the source may have made a very large leap in logic. The original numbers, provided by MMO Champion, indicate only that 40% of players have a Core Hound pet, which is available only to those who own authenticators.
The source made a couple of assumptions that we do not agree with. The first assumption is that every player with a Core Hound purchased the keychain authenticator rather than downloading a free one for their phone. The second assumption is that the $6.50 fee is all profit – which it almost certainly is not. The $26 million apparently comes from multiplying 40% of the WoW user base by $6.50 – inaccurate at best and wild speculation at worst.
We’re leaving this article intact so that discussion can continue, but we wanted to ensure all relavant information was provided. Apologies for missing the details the first time around.

Editor’s Note: We looked into this story a little further, and it looks like the source may have made a very large leap in logic. The original numbers, provided by MMO Champion, indicate only that 40% of players have a Core Hound pet, which is available only to those who own authenticators.


The source made a couple of assumptions that we do not agree with. The first assumption is that every player with a Core Hound purchased the keychain authenticator rather than downloading a free one for their phone. The second assumption is that the $6.50 fee is all profit – which it almost certainly is not. The $26 million apparently comes from multiplying 40% of the WoW user base by $6.50 – inaccurate at best and wild speculation at worst.


We’re leaving this article intact so that discussion can continue, but we wanted to ensure all relevant information was provided. Apologies for missing the details the first time around.

 

 

 

blizzard_authenticator

 

Despite falling subscriptions Blizzard have been finding a new form of revenue with those who stayed. Widely reported subscription losses for Activision's WoW is nothing when you have a card game, board game and in-game microtransactions.  No one thinks that Blizzard will be taking their MMO to freemium status or closing down a server or two. But it seems that they've even been making some dough from their optional account security with their Battle.net Authenticators. 

 

The authenticator is a small device that will help you protect your account against any hackers or scriptkiddies who are posting fakes on places like eBay or Craigslist. They cost about $6.50 and Blizzard have made over twenty million from it . The device has a button and each time you want to logon it shows a code specifically generated for your device. Character hacking has become so common in the game that at least 40% have bought the device. I'm sure of those 40% that about 50% will regret buying it by the end of the year.

 

I believe most people would say that it's BS to have to pay just to have their account extra secure.  But WoW have gotten around this by having such a cheap price and making it a physical item as opposed to just a bit of code that the creators just plonked into the game at the last minute. With database hacking becoming the "cool" thing to do with gaming databases I wonder if any other companies will go this route...hopefully just Blizzard. Who knows, with the amount of pirated copies of Modern Warfare 3 they might do it with CoD Elite for an extra $5...probably shouldn't put ideas in their head.

 

Via [Geek.com]



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Comments 


 
# RE: Blizzard made $26 million with WoW AuthenticatorsAndy Mitchell 2012-01-02 14:45
But you don't have to pay.

You can just get the free app for iOS, Android, BlackBerry and even Windows Phone. And considering that's pretty much every mobile OS on thte market (excluding Symbian), odds are people are likely to have a mobile capable of running the app.

And at least they're taking security seriously by adding an extra layer.

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