Microsoft set to acquire the gaming company: Microsoft has announced that it will acquire Activision Blizzard, a video game behemoth. According to a news statement, the move allows Microsoft, the maker of Xbox, to get a foothold in both the mobile gaming and metaverse spaces.
Microsoft set to acquire the gaming company
Call of Duty, StarCraft, Candy Crush, and other well-known properties are all part of Activision Blizzard. The organisation can reach a wide range of people, from casual gamers to esports aficionados, thanks to its diverse portfolio.
However, the company is not without its flaws. The Wall Street Journal reported in November that Activision Blizzard CEO Bobby Kotick was aware of years of sexual misconduct allegations — ranging from alleged rapes to harassment — but failed to inform the company’s board of directors. The California Department of Fair Employment and Housing is now suing the corporation for failing to pay women equally and having a “frat male working culture.” In September, the business agreed to pay the Equal Employment Opportunity Commission $18 million to resolve a lawsuit alleging harassment and discrimination against female employees.
Employees at Activision Blizzard have been so unhappy with Kotick’s handling of these crises over the years that they have frequently asked him to resign.
Kotick will continue to lead Activision Blizzard as CEO, according to the press statement. “Once the purchase is completed, the Activision Blizzard business will report to Phil Spencer, CEO of Microsoft Gaming,” according to the press release.
Microsoft told IGN that while Kotick would stay CEO for the time being, Activision Blizzard will report to Spencer once the transition is complete.
In an investor call on Tuesday, Microsoft CEO Satya Nadella seemed to allude to Activision Blizzard’s reputation, stressing the necessity of building a safe and equitable workplace atmosphere. “We’ll have a lot of work to do after the close to keep building a culture where everyone can perform their best work,” Nadella added.
The transaction is worth $68.7 billion and is pending regulatory approval. This is just the most recent purchase news in the gaming industry. Take-Two Interactive, the firm behind the Grand Theft Auto series, announced last week that it would purchase Zynga for $11.04 billion.
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