This excerpt taken from the ATVI 10-Q filed May 8, 2009.
We may encounter difficulties transitioning World of Warcraft in China to our new licensee.
We recently announced plans to transition the license for World of Warcraft in China to a new licensee upon expiration of the current license agreement. A number of activities must be completed before the new licensee can begin to offer World of Warcraft in China, including obtaining all required regulatory approvals in China. There can be no assurance that all these transition activities will be timely completed prior to the scheduled expiration of the current license agreement on June 5, 2009. Our ability to complete these transition activities could also be adversely affected by a failure of our current licensee to cooperate in the transition, or any efforts by our current licensee to block or interfere with the transition. If we are unable to timely complete the transition, World of Warcraft may become unavailable to players in China for a period of time, which would result in lost revenues and net income during any time the game is unavailable, and could have a longer-term negative effect on our reputation and subscriber base in China. In addition, efforts relating to the transition could distract Blizzard Entertainments employees and cause delays of other business initiatives.