Microsoft buys Activision Blizzard for US$69 billion in its biggest acquisition to create the world’s third-largest gaming company
- Microsoft will pay US$95 in cash for each share of Activision Blizzard
- Activision’s CEO Bobby Kotick will continue to serve in that role. Once the deal closes, Activision Blizzard will report to Phil Spencer, who heads Microsoft Gaming
Microsoft said it’s buying Activision Blizzard in a US$68.7 billion deal, uniting two of the biggest forces in video games to create the world’s third-biggest gaming company.
In its largest purchase ever, Microsoft will pay US$95 A share in cash for one of the most legendary gaming publishers, known for titles like Call of Duty and World of Warcraft but which is also grappling with a cultural upheaval over its treatment of women.
Activision Chief Executive Officer Bobby Kotick will continue to serve in that role, Microsoft said. Once the deal closes, the Activision Blizzard business will report to Phil Spencer, who heads Microsoft Gaming. The deal value includes Activision’s net cash.
The publisher’s largest franchise, Call of Duty, became successful largely due to Microsoft’s online platform Xbox Live, which allows players to connect for multiplayer matches. Most of Activision’s games are published on Xbox consoles.