Blizzard’s acquisition of Activision Blizzard cemented the shift in focus to a lucrative, revenue-generating new business model. Experts say this is just the beginning as large companies continue to buy up smaller ones in order to dominate emerging technologies.
Microsoft acquired Activision Blizzard in 2018, giving them the rights to the popular franchise, Call of Duty and Destiny. What gamers should expect from this acquisition is still unknown but with Microsoft’s track record on PC gaming they will no doubt be looking for new ways to make money off these games by selling loot boxes, DLCs and subscriptions like other AAA titles.
Microsoft has purchased Activision Blizzard for $26.6 billion, making it the world’s largest game publisher. The acquisition is a huge step for Microsoft as they look to expand their gaming portfolio and compete with other major players like Sony and Nintendo.
Activision Blizzard is being purchased by Microsoft.
Microsoft (Microsoft Gaming) stated today that it plans to buy Activision Blizzard. The sum is staggering: $68.7 billion, which works out to $95.00 per share!
World of Warcraft, Diablo, Overwatch, Call of Duty, and a slew of more titles will be part of the deal.
After the purchase closes, Microsft will be the third-largest gaming firm in the world, after Tencent and Sony.
What’s the deal with Blizzard Activision?
Given Activision Blizzard’s present problems, it’s unlikely that any possible purchasers would be interested in the firm. Microsoft, on the other hand, looks to see value in the corporation, most likely due to Call of Duty and the possibility of Hearthstone, Diablo, and World of Warcraft (Classic).
According to reports, the gaming business is the biggest and fastest-growing type of entertainment, with a market capitalization of about $200 billion. It was undoubtedly an opportunity Microsoft couldn’t pass up, with a possible growth of players from 3 billion to 4.5 billion by 2030!
Microsoft has issued a statement, which may be seen on the Microsoft News Centre.
Quarterly Results from Blizzard Activision:
According to the Activision Blizzard Financial Report for the Third Quarter of 2021, the company had a good third quarter. With the release of Call of Duty, I’m guessing they anticipate sustained success in the fourth quarter. King and World of Warcraft Classic were also successful.
Shares of Activision Blizzard:
I’m curious whether word got out on Friday, January 14th, when Blizzard’s stock soared from $69.39 to $86.55 a share. Since the end of August, the stock price hasn’t been this high.
Is Bobby Kotick on his way out?
If you were looking for Kotick to leave as a consequence of this purchase, I’m afraid it’s not going to happen, at least not right now!
“Bobby Kotick will continue to lead Activision Blizzard as CEO. Activision Blizzard’s business will report to Phil Spencer, Microsoft Gaming’s CEO, after the purchase is completed.” – Microsoft Public Relations
Is there a Game Pass version of the Activision Blizzard Gaming Catalog?
Phil Spencer, the CEO of Microsoft Gaming, has also said that if Activision Blizzard’s acquisition is completed, the business hopes to include as many Activision Blizzard titles as possible on the XBOX Game Pass.
Players with months, if not years, of playing time on their World of Warcraft accounts who already have an XBOX Game Pass are my main worry.
I have an XBOX Game Pass, but owing to changes in buying WoWToken game time, I don’t have anything longer than two months on my account, although I know other people who have had their accounts for years.
Conclusion:
As previously said, this news came as a complete surprise to me and, no doubt, to many others. With the continual troubles surrounding Activision Blizzard and the minor success around the most recent quarterly financial results, Microsoft Gaming likely saw an opportunity they couldn’t pass up.
Microsoft Gaming will hopefully be able to make the required adjustments inside Activision Blizzard and infuse its beliefs into the firm. Hopefully, we can put a stop to inequity by improving working circumstances, which will lead to increased growth across all departments; if you take care of your employees, they will take care of you!
Maybe, just maybe, some of the outstanding creators who just left Activision Blizzard to protest the company’s dismal state may return.
It’ll be intriguing to see how World of Warcraft evolves under Microsoft Gaming’s leadership.
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Microsoft has announced that they will be purchasing Activision Blizzard for $26.4 billion. The deal includes the popular gaming company, Take-Two Interactive Software Inc. and the popular game, “World of Warcraft”. Reference: microsoft buying take-two.
Frequently Asked Questions
What does Microsoft buying Activision mean for WOW?
A: The acquisition of Activision by Microsoft is the first step in a plan to offer more games on Xbox One. This means that you will be able to play WoW, World Of Warcraft directly on your console instead having to go through an app or website and then finally playing it with your friends online.
Why did Microsoft buy Activision Blizzard?
A: Microsoft has not yet commented on their reasons for buying Activision Blizzard.
Will the Microsoft Activision deal go through?
A: Microsoft has announced that the deal with Activision will not be going through, citing a lack of interest on Activisions end.
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