I'm hardly outraged, here, but I don't think his ideas make a whole lot of sense, either. Perhaps it's because I was never married to any of their franchises (as much as I foresee myself playing MW2, I could still easily live without it and have bought a different game.)

At some point, they are going to be unable to attract top talent with policies that undermine the happiness of his developers. The products, in large part, are already starting to degrade (WoW for certain, though I am of the opinion that D3 and SC2 are going to be pretty bad.) Franchises like Guitar Hero are losing their luster, especially now that there are direct competitors. While his policies are boosting the bottom line now, I'd have to be concerned with longterm effects on the business (of course, Kotick shouldn't be--he'll be gone long before that time.)

I'm not saying that Activision is going to disappear, but those policies aren't the way you secure long-term marketshare.