February 7, 2008 4:42 PM PST

Activision rides 'Guitar Hero' gold to massive profits

by Daniel Terdiman
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Who'd have thought a guitar game could help one of the world's biggest video game companies double its earnings?

That's what happened though, as demonstrated by Activision's third-quarter earnings, which it reported Thursday afternoon.

According to the company, which was recently bought by communications giant Vivendi, Activision brought in third-quarter profits of $272.2 million, nearly twice its profits of $142.8 million from the same quarter a year ago.

Why?

Well, it's clear that a huge part of it is massive sales of the company's explosive hit, Guitar Hero III.

Other games, too, most notably, Call of Duty 4, played a role. But it's surely the millions of people out there "strumming" on plastic guitars that really put the oomph in Activision's bottom line during the third quarter.

Daniel Terdiman is a staff writer at CNET News covering games, Net culture, and everything in between. E-mail Daniel.
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About Geek Gestalt

Daniel Terdiman, uniquely positioned to take you into the middle of another side of technology, chronicles his explorations of the "fun beat," from cultural phenomena such as Burning Man to cutting-edge aircraft to game conventions.

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