Microsoft announced today it would be acquiring Activision Blizzard, adding some of the biggest franchises in gaming to its portfolio, including World of Warcraft, Call of Duty, and Candy Crush. The deal is currently the largest in the history of the video game industry, beating the record set only last week when Take-Two acquired Zynga for $12.7 billion. Activision CEO Bobby Kotick will remain in his current role. While the announcement does not comment on whether or not Activision games will now be exclusive to Microsoft platforms, it does reference Microsoft's intention bolster Game Pass with Activision's portfolio, also announcing that Game Pass has recently reached a milestone subscriber count of 25 million. The deal is expected to close in the fiscal year 2023 and will make Microsoft the third-largest gaming company by revenue, behind Tencent and Sony.

The merger comes at a tumultuous time for Activision Blizzard, after both the State of California and the SEC began investigating reports of sexual misconduct and worker discrimination at the company last summer. This controversy drew responses from across the industry, with PlayStation boss Jim Ryan reportedly condemning the company in an internal memo to employees, and Xbox CEO Phil Spencer stating in November that he would be "evaluating" his relationship with Activision Blizzard moving forward and that he was "disturbed and deeply troubled" by the reports. In an interview with The New York Times last week, Spencer said "we have changed how we do certain things with them, and they’re aware of that. But I also — this isn’t about, for us as Xbox, virtue-shaming other companies. Xbox’s history is not spotless." In a press release accompanying the acquisition announcement, Microsoft CEO and chairman Satya Nadella said “We’re investing deeply in world-class content, community and the cloud to usher in a new era of gaming that puts players and creators first and makes gaming safe, inclusive and accessible to all.” To add to Activision's woes, the last Call of Duty release, Vanguard, reportedly performed below expectations and failed to beat the previous year's release, with some rumours circulating that the next Call of Duty may be moved up in the schedule to compensate.

This acquisition continues Microsoft's recent trend of major acquisitions across the gaming industry. Last September, they acquired publishing giant Zenimax, and have been purchasing scores of smaller studios for the past several years, including Obsidian, Double Fine and Ninja Theory.

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[XDel]

Ah. The link didn't take me anywhere, so I was lost for a second.

Fixed, thankx!

 

[Jayinem]

Most likely not. It most likely means that Xbox & PC will get the COD special treatment that Sony has enjoyed for years.

I'm going to go out on a limb and say you will be able to buy any future Call of Duty games on Playstation no problem. However when it comes to subscriptions obviously it will only be on Xbox GamePass.

 

[MohammedQ8]

Nintendo should change their name from leave luck to heaven to leave me alone lol (Ni-aah).

 

[robman62]

Game pass is about to be crazy over the next few years!

 

[Dr_Faustus]

Oh boy! Microsoft is trying to make another monopoly again!
But also, did they seriously see everything going on with the lawsuit and still go through with this?

They were probably able to acquire it in the first place because of how much of a hit it took in value over the recent problems its had. Its an outcome that would if anything would prove to be better for everyone involved with maybe the exception of some Executives getting the boot. No need to keep toxic elements in the company you are buying as it was so easy to get in the first place due to their failings.

 

[tech3475]

I just realised Microsoft will own Crash Bandicoot.

 

[Valwinz]

No point on owning a PS5

 

[Jayinem]

Microsoft could now make an exclusive Crash Bandicoot, Tony Hawk, True Crime (please, but won't happen) Bloody Roar, Transformers Cybertron game.

 

[Lumince]

I just realised Microsoft will own Crash Bandicoot.

well this is actually the only nightmare that comes out of this.

 

[Jayinem]

No point on owning a PS5

I guess I missed where they got all the Sony exclusives too.

 

[gohan123]

I just realised Microsoft will own Crash Bandicoot.

microsoft should let the crash trilogy team develop a banjo kazooie remake.

 

[HarveyHouston]

Guitar Hero is going to be bought by Microsoft? God help us all.

Does anyone think that this is a good idea? Microsoft already bought Bethesda, and now they're buying out more gaming industries? Seems anti-competitive to me, but what do you expect from a big tech company that forms my acronym GAMMANT?

 

[Marc_LFD]

At least Microsoft knows exclusivity is bad business, but weird they're buying up everything.

Might as well buy SEGA, too. I'd love a Crazy Taxi 3 (not that junk released on Xbox).

 

[gohan123]

Guitar Hero is going to be bought by Microsoft? God help us all.

Does anyone think that this is a good idea? Microsoft already bought Bethesda, and now they're buying out more gaming industries? Seems anti-competitive to me, but what do you expect from a big tech company that forms my acronym GAMMANT?

in general I think it's bad. but the state in which blizzard is in, everything gives me hope for the better.

 

[DSoryu]

I guess I missed where they got all the Sony exclusives too.

PS5 has no gaems.

 

[MikaDubbz]

Oh boy! Microsoft is trying to make another monopoly again!
But also, did they seriously see everything going on with the lawsuit and still go through with this?

Honestly this is probably a great move for all that drama. Bobby will be let go I'm sure (with a fat paycheck unfortunately), and then Microsoft will get the culture of Activision in line with the rest of Microsoft.

 

[HarveyHouston]

Guitar Hero is going to be bought by Microsoft? God help us all.

Forget what I said. I just read that Activision sold Guitar Hero's current developers to Ubisoft in 2017. I still think that Microsoft acquiring Activision is a bad idea, though.

 

[Emperor_Norton]

I just realised Microsoft will own Crash Bandicoot.

Crash & Banjo crossover when?


But seriously, from the jaws of one beast to another. Not only is Kotick still there, but now Moneyman Gates himself stands on top. What a mess.

 

[chrisrlink]

Oh boy! Microsoft is trying to make another monopoly again!
But also, did they seriously see everything going on with the lawsuit and still go through with this?

ofc they probably did their there to clean house

 

[Dr_Faustus]

Forget what I said. I just read that Activision sold Guitar Hero's current developers to Ubisoft in 2017. I still think that Microsoft acquiring Activision is a bad idea, though.

Is it really that much of a bad idea given how they have been twisting in the wind of their own accord for the last few years now? MS could be the thing that actually pulls them out of the shit situation they are in and actually get them back to the road of progress, with resources out the arse no less.

I mean hell, when they acquired Bethesda we actually got a trailer and a release date for Starfield, do you really think that would have happened if they were still on their own? OW2 and D4 might actually get back on track as well from this purchase. ActiBlizz needed this if they had any chance of not falling apart. Most importantly of all the MS corporate culture is probably infinitely better than whatever the hell ActiBlizz had. The Employees will benefit from this extremely.