That was a surprise: Microsoft wants to grab the games giant Activision Blizzard. The deal could be worth around 70 billion US dollars. This could have far-reaching consequences for players – as well as for console competitor Sony. However, there is a catch: Bobby Kotick should remain Activision's CEO after the takeover.
Microsoft, the software company behind the Xbox console series, is in a buying mood: After the surprising mega deal with Bethesda/Zenimax Media, the Redmond-based company now want to strike again and snap up Activision Blizzard. Activision is valued at $68,7 billion. According to the announcement, Microsoft is apparently offering $95 per share from Activision Blizzard.
Top brands now under one roof
Last year, the acquisition of Zenimax Media was already considered a gigantic deal in the industry. Microsoft paid 7,5 billion US dollars for this. Now the Redmond-based company is proving that it can get even bigger: Microsoft is putting around ten times the price on the table for the takeover of Activision-Blizzard. The software company behind the Windows operating system could thus buy heavy brands such as Diablo, World of Warcraft or Call of Duty.
Microsoft remains true to its line - they want to unite more studios under one roof. The deal could also make waves in the mobile sector: after all, Microsoft can then also have Candy Crush and strengthen itself in the mobile games segment.
Looking back on the Bethesda deal, around 22 million players will probably be happy: well-known brands could now find their way into the Game Pass for Xbox and PC, such as the popular Call of Duty shooter series. If you play with Microsoft's drive for innovation, it's now quite possible that even the MMO primus World of Warcraft could find its way into the console world. Sony is likely to tremble in the face of the Xbox group, which is keen to buy, because Microsoft is also underpinning the Xbox brand with the possible strengthening of the game subscription service.
Not everything is positive about the deal, however. Apparently, Activision CEO Bobby Kotick will remain in office after the takeover. In view of the sexism scandal at Activision-Blizzard, one could miss an opportunity to get rid of the criticized boss. Kotick's resignation from his post has been called for several times over the past year. The decision is probably not carved in stone: In the end, Microsoft could possibly clean up rigorously in order to polish the image of the ailing games giant.
At Microsoft, the conclusion is expected in “fiscal year 2023”, so it could take up to a year and a half before the takeover actually takes place. Activision shares responded to the deal by jumping nearly 37 percent.
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