Settlement reached in Activision 'Call of Duty' suit*

The videogame giant and the two co-creators of the "Call of Duty" franchise have come to terms the day before a jury trial was scheduled to get under way. Jason West and Vince Zampella sued Activision, claiming they were fired so that the company could avoid paying them millions of dollars in bonuses. Activision countersued. The two sides have been in the throes of a settlement deal for several days. Terms are not likely to be released. More to come.

*From the LAT:

Many in the game industry have been riveted by the conflict, which pitted the world's largest game company against some of the industry's most talented developers. Some game developers saw it as a case for artists' rights, while investors closely watched how far Activision would go to assert control over its most valuable franchise, one that has generated an estimated $7 billion in revenue. "This legal battle between the old employees of Infinity Ward and Activision is the most significant in video game history," said Evan Wilson, an analyst with Pacific Crest Securities. "It's been a major distraction for senior management at Activision at a time when the industry is going through one of its most difficult periods. It will be good for Activision to be able to move past this."