CoD Unveils Colossal R&D Investments

Call of Duty's Astronomical Budgets: A Look at the Rising Costs of AAA Game Development

Recent disclosures reveal that Activision's Call of Duty franchise has reached unprecedented heights in development costs, with budgets for three titles ranging from $450 million to a staggering $700 million. This surpasses previous records, making Black Ops Cold War the most expensive video game ever created.

The sheer scale of AAA game development is undeniable. These projects often span years and require immense financial and human resources. While indie games frequently leverage crowdfunding platforms like Kickstarter to manage smaller budgets, the world of blockbuster titles operates on a vastly different scale. Yearly increases have pushed costs beyond what were once considered extravagant budgets for classic games. While titles like Red Dead Redemption 2, Cyberpunk 2077, and The Last of Us Part 2 are known for their high development costs, they pale in comparison to these new Call of Duty figures.

According to a December 23rd California court filing, Activision's Patrick Kelly (head of Call of Duty creative) revealed the development budgets for Black Ops 3, Modern Warfare (2019), and Black Ops Cold War. Black Ops Cold War's budget exceeded $700 million, a figure achieved despite being financed solely by Activision. The game's success is evident in its over 30 million copies sold. Modern Warfare (2019) follows closely, with a development cost exceeding $640 million and sales surpassing 41 million units. Even Black Ops 3, the least expensive of the three at $450 million, significantly outpaces the $220 million spent on The Last of Us Part 2.

Black Ops Cold War: A $700 Million Milestone

The budget for Black Ops Cold War sets a new benchmark in video game development, outstripping even Star Citizen's substantial $644 million development cost. This is particularly noteworthy considering Star Citizen's reliance on 11 years of crowdfunding, while Black Ops Cold War was funded entirely by a single entity.

The upward trend in game development budgets is undeniable. Comparing the $40 million budget of Final Fantasy VII (1997), once considered a massive investment, to today's AAA game costs highlights the dramatic escalation. Activision's recent revelations serve as stark evidence of the ever-increasing financial demands within the modern video game industry. It's compelling to consider the potential budget for future installments like Black Ops 6, given the exponential growth observed since Black Ops Cold War's release in 2020.