After Activision’s Blizzard studios launched the highly anticipated PC game on May 15, players had problems logging on and said their accounts were being hacked.

“Despite very aggressive projections, our preparations for the launch of the game did not go far enough,” the company said in an apology issued last week. Yesterday, the company issued another statement, confirming that some accounts “may have been compromised.”

In addition to selling 3.5 million copies on day one, Activision said more than 1.2 million players received Diablo III as part of signing up for the World of Warcraft Annual Pass promotion. Based on that total, internal calculations and reports from distribution partners, Activision believes this makes Diablo III the biggest PC game launch in history.

By the end of the first week, Diablo sales reached 6.3 million. The game costs $60 for either the physical copy or the digital version.

“We’re definitely thrilled that so many people around the world were excited to pick up their copy of Diablo III and jump in the moment it went live,” said Blizzard’s CEO and co-founder Mike Morhaime. “We also regret that our preparations were not enough to ensure everyone had a seamless experience when they did so. I want to reaffirm our commitment to make sure the millions of Diablo III players out there have a great experience with the game moving forward, and I also want to thank them for their ongoing support.”

In the game, players take on one of five heroic characters — barbarian, witch doctor, wizard, monk or demon hunter. As that character, they must save the world of Sanctuary from the forces of the Burning Hells. As they engage in the virtual world, players gain new abilities and acquire artifacts.

For the first time ever, those artifacts can be traded for real-world currency through an auction house.

During the company’s first-quarter conference call two weeks ago, it confirmed that consumer feedback from the beta test had gone well, especially when it came to the new trading method.

Blizzard does not intend to sell any items in the auction house, in contrast to other game models where companies profit from selling in-game virtual goods. But interestingly, Blizzard will charge players a transaction fee on sales, or roughly 15 percent on most items.

In a post on those same discussion forums Friday, Blizzard CEO and co-founder Mike Morhaime said the company has “been constantly monitoring the feedback you’ve given us, as well as internally discussing your concerns about the use of real names on our forums.”

“As a result of those discussions, we’ve decided at this time that real names will not be required for posting on official Blizzard forums,” Morhaime wrote.

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On Tuesday, Blizzard announced that it will begin forcing participants in its game discussion forums–where players go to gab about World of Warcraft and other games–to post comments using their real first and last names. The change will go into effect mid-July on forums for Starcraft II, an upcoming online game, and follow after that for World of Warcraft discussion forums.

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Earlier this week, BoomTown motored on down to the HQ of Booyah in downtown Palo Alto, Calif., for a chat with its CEO and co-founder, Keith Lee.

Also there: Jim Breyer, the Accel Partners moneybags who recently joined the board of the mobile social gaming start-up, forking over $20 million in new funding for the privilege.

Best known for its MyTown iPhone app, now with upward of two million users, Booyah is made up of a team of gaming industry veterans, especially from Blizzard Entertainment, which is now part of Activision Blizzard (ATVI).

Started in 2008, the company had previously raised $9 million in venture funding, mostly from the Kleiner Perkins Caufield & Byers $100 million iFund, as well as from DAG Ventures.

MyTown, which is about to come out with a new version, is one of the most popular and innovative location-based social games on Apple (AAPL) mobile devices.

That compares with other social check-in services, such as Foursquare (just over one million users) and Gowalla (250,000).

MyTown is slightly different from these services, though, focusing on gaming in its check-ins and virtual goods versus emphasis on a discovery element.

Lee and Breyer talk about all this and more in the video of my interview, which includes a short tour of Booyah’s Silicon Valley HQ (it is soon moving to San Francisco):