Activision will not be impacted by the settlement cost

Aug 1, 2012 07:58 GMT  ·  By

Doug Creutz, who is an analyst watching the video game industry for Cowen & Company, has estimated that the legal process that was associated with the lawsuits between Vince Zampella and Jason West on one side and Activision on the other might have cost the publisher tens of millions of dollars.

The lawsuits were settled during May of this year and neither of the parties have disclosed the terms involved or the sums of money that exchanged hands.

The start of the legal action can be tracked back to 2010, when Zampella and West asked Activision to pay them royalties that were linked to the success of Call of Duty: Modern Warfare 2.

The publisher then counterattacked by stating that the two developers breached their contract because they talked to rival Electronic Arts about a potential future collaboration.

The analyst says that the tens of millions of dollars involved in the legal action will have little impact on the overall financial health of Activision.