Microsoft Acquires Game Company Activision Blizzard for $ 68.7 Billion
By merging with the problematic Activision, Microsoft will become the third largest gaming company in terms of sales after Tencent and Sony.
The deal is also one of the most expensive technology acquisitions in history since Dell acquired data storage company EMC for about $ 60 billion in 2016. (Reuters)
Microsoft has acquired the gaming company Activision Blizzard for $ 68.7 billion, giving it access to blockbuster games such as Call of Duty and Candy Crush.
With a full cash transaction on Tuesday, Microsoft, the maker of the Xbox gaming system, will become one of the largest video gaming companies in the world.
“This acquisition will accelerate the growth of Microsoft’s gaming business across mobile, PC, console and cloud, and provide a component of the Metaverse,” Microsoft said in a statement.
The merger will also help companies compete with technology rivals such as Meta (formerly Facebook) in creating immersive virtual worlds for both work and play.
Activision Employee protestProceedings, departures, and state proceedings alleging it have enabled toxic work conditions and sexual harassment of women.
read more:
Activision Blizzard shakes management after employee protests
Problematic Activision
Over the past seven months, Activision has received approximately 700 reports of employee concerns about sexual assault, harassment, or other misconduct. The Wall Street Journal I am reporting.
“Our organizational culture is my number one,” Microsoft CEO Satya Nadella said in a conference call with investors.
“It’s very important that Activision Blizzard promotes its commitment to improving work culture,” Nadella added.
Almost 20% of Activision Blizzard’s 9,500 employees have signed a petition to resign from CEO Bobby Kotick.
However, Cotic will continue to play that role, and he and his team will continue to focus on further strengthening the company’s culture and driving efforts to accelerate business growth.
Investing in big games
Wall Street saw the acquisition as a major win for Activision Blizzard Inc., with shares soaring 27% in early Tuesday trading.
Microsoft’s share has fallen by less than 1%.
Microsoft has invested heavily in games in recent years.
The deal on Tuesday follows Microsoft’s $ 7.5 billion acquisition last year of ZeniMax Media, the parent company of Bethesda Softworks, the video game publisher behind the popular video games The Elder Scrolls, Doom and Fallout.
In both cases, Microsoft said the deal would help enhance the Xbox Game Pass’s gaming subscription service.
read more: Video Game Industry: Pandemic Winner
Source: TRT World and distributors
https://www.trtworld.com/business/microsoft-acquires-gaming-company-activision-blizzard-for-68-7-billion-53790?utm_source=other&utm_medium=rss Microsoft Acquires Game Company Activision Blizzard for $ 68.7 Billion
