$14,5 million owned by the publisher, "tens of millions of dollars" possible losses

Mar 12, 2008 09:09 GMT  ·  By

Sometimes the big developers just don't want to talk to anybody regarding stuff they didn't do but they should've. Probably the same thing happened between Harmonix and Activision regarding the Guitar Hero franchise and some $14 million, so the developers filed a lawsuit against the publishers. It seems that this action was enough, since after less than 24 hours, Harmonix considered it was time to withdraw and accept Activision's invitation "to talk".

According to Variety, this lawsuit revolved around the technology used to create the bestselling Guitar Hero III which, Harmonix says, is the same used in the first two GH games. If you don't know, the current Rock Band developers are the creators of Guitar Hero - the first being published by RedOctane and the second by Activision. In 2006 Harmonix was acquired by MTV Networks and Activision passed the GHIII development to Neversoft, together with the technology.

But, even though the original Guitar Hero developers are receiving royalties from the game sales, it seems they're not enough: according to Harmonix, approximately $14.5 million is what Activision owns them - that's about 50% more than what the publishers are currently offering. And the sum might just be the right one, since Guitar Hero was a heavy milking cow, generating more than $820 million last year, according to the NPD Group.

Still, even though the two companies have decided to talk in private for the moment, General Counsel George Rose says that "Activision believes it has made sufficient payments to Harmonix and the claims otherwise do not have merit." Well, obviously, Harmonix doesn't agree.

We'll keep an eye on this whole situation and keep you updated. But there is a very big possibility that the two companies will reach an agreement and no official data will be forwarded to the public. One thing is clear, though: if we'll see another suit filling from Harmonix, it is clear that Activision refused to pay.