ATVI's World of Warcraft celebrated its 10th anniversary in November, as game shows signs of life following successful Draenor release.Still commands 34% market share, but facing stiff MMORPG competition thanks to alternative pay models.Some areas that might need fixing: subscription-based pay model, greater emphasis on casual gamers.On a cool November day in 2004, gamers in the United States, and soon the world, waited in anticipation for the first day of a new massive multiplayer online role-playing game (MMORPG). With monthly subscription fees paid, and visions of slaying orcs dancing in their heads, millions logged on that day to what would become a $1 billion franchise, pop culture staple and the forerunner of an expansive genre.

For the first half of its life, Activision Blizzard's (NASDAQ:ATVI) creation became the company's flagship product in terms of revenue, as well as the dominant player in the MMORPG market. Sure, there were many other games that followed suit, but for a long time, Warcraft went unchallenged as the superior game in terms of mechanics, technology and fun, capped off by its own South Park episode "Make Love Not Warcraft" (Blizzard
Entertainment even provided animation for the game play sequences). At over 12 million monthly users and climbing, the game was a hit.

Since then though, the market became more competitive and Warcraft was no longer the feared orc in the cave it once was. From 2010 onward, Warcraft lost monthly subscribers each quarter, with little exception. New expansions didn't provide the boosts they once did, and the game slipped below the seven million-subscriber mark. By sheer force of the loyalty of its players, and the fact that it was still raking in the cash for

Activision, Warcraft remains a key component of Activision's portfolio, even as the company branched out into console gaming and alternative MMORPG's like Hearthstone. This made Warcraft look old by comparison, and it

wasn't aging well compared to competitors such as League of Legends and a growing mobile game market that cost gamers less to play.
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