Microsoft announces acquisition of Activision Blizzard

On 18/01/2022, Microsoft announced its intent to acquire Activision Blizzard in an all-cash transaction valued at approximately $68.7 billion. The proposed acquisition was the largest deal in video game industry history and one of the biggest technology acquisitions announced at the time. Microsoft said Activision Blizzard would become part of Microsoft Gaming, expanding its portfolio across console, PC, mobile, and cloud gaming markets. The agreement included major franchises such as Call of Duty, World of Warcraft, Overwatch, Diablo, and Candy Crush, bringing Activision Publishing, Blizzard Entertainment, and King under Microsoft’s gaming division. Microsoft stated that the acquisition would position the company as the world’s third-largest gaming company by revenue, behind Tencent and Sony, once the transaction closed. The company also indicated that Activision Blizzard titles would support growth in Xbox Game Pass, cloud gaming, and cross-platform distribution. The deal required regulatory approval across multiple jurisdictions and remained under review for more than a year. Microsoft later finalized the acquisition on 13/10/2023 after addressing concerns from regulators, including restructuring cloud gaming rights and making licensing commitments. At closing, the total cost of the transaction was reported at approximately $75.4 billion. Following completion, Activision Blizzard began operating as a subsidiary within Microsoft Gaming alongside Xbox Game Studios and ZeniMax Media.