Activision settles Call of Duty lawsuit

Activision Blizzard has announced that it has settled a lawsuit with two former executives who developed the company's wildly popular Call of Duty franchise.

In a statement, Activision said that "all parties to the litigation have reached a settlement of the dispute". Those hoping for the gritty details of the spat will be disappointed; Activision said terms of the deal are "strictly confidential".

Activision, however, did not expect the settlement to have a major impact on its financials, "due to stronger-than-expected operating performance in the current quarter".

The battle dates back to 2010, when Jason West and Vince Zampella sued Activision for wrongful dismissal and breach of contract; Activision countersued.

That came after the company fired West and Zampella and formed a separate business unit for Call of Duty. Zampella and West are the co-founders of Infinity Ward, which Activision acquired in 2003.

The next month, West and Zampella formed a new development studio, Respawn Entertainment, and signed a deal with rival game maker Electronic Arts (EA). By December, Activision sought to add EA to its lawsuit, arguing that the company tried to "destabilise, disrupt and destroy" Activision, which requested $400 million (£260 million) in damages.

On the Call of Duty front, Activision is currently prepping for the Nov. 13 release of Call of Duty: Black Ops 2, which recently blew away Amazon pre-order records.