Activision Welches; Harmonix Strikes Back Print E-mail
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Written by Thomas "CigDangle" Balistreri   
Thursday, 13 March 2008

[News]

Harmonix is playing hardball, and finally Activision is taking notice.

Harmonix, the developers of a slew of music/rhythm games most notably Guitar Hero and Rock Band, filed a lawsuit against Activision to the tune of $14.5 million in an effort to bring them to the bargaining table.

The lawsuit concerns a royalty agreement regarding the Guitar Hero franchise, which said that Harmonix was to be paid one of two rates: one if the new company created their own technology and a higher rate if the new company re-used Harmonix tech to produce the new game.  Harmonix claims that they were incorrectly paid the lower rate and were also not paid agreed upon royalties for downloadable content and in-game advertising.  The inconsistency reportedly amounts to the $14.5 million.

The resolution is key to Harmonix’s future financial success, especially as Activision continues to release DLC for GH3, and plans to release three new Guitar Hero editions, including an Aerosmith version.  Harmonix claims royalties on these forth coming titles "will mount at the rate of tens of millions of dollars per year.”

Source: GameInformer.com

 

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