In a landmark purchase that has been in the making for nearly 20 months, Microsoft has finally shook hands to acquire Activision Blizzard King, laying out a whopping $68.7 billion for the acquisition. This strategic move isn’t just a financial transaction but a merger of legacies, promises, and visions for the future of the gaming industry.
After facing its share of regulatory hurdles and challenges, the deal’s finalization came swiftly after UK’s Competition and Markets Authority gave its nod, putting a stamp of approval on Microsoft’s revised proposal. This nod of approval was essential, particularly given the earlier concerns about the acquisition’s potential impacts on the ever-growing sector of cloud gaming.
So, what does Microsoft stand to gain from this transaction? A treasure trove of franchises and, more importantly, the decades of experience of making best-selling titles. Microsoft will now house revered series such as Call of Duty, World of Warcraft, and Diablo. In addition to these gems, Microsoft has also bolstered its Xbox Game Studios’ strength by the onboarding prominent developers such as Infinity Ward and Treyarch. One can’t ignore the significant boost in mobile gaming as Microsoft embraces Candy Crush Saga developer, King, strengthening its mobile gaming arsenal.
Microsoft’s head of gaming, Phil Spencer, captured the enthusiasm and vision for the merger in an Xbox Wire post. He emphasized the united front that Microsoft and Activision Blizzard King will now present, stating, “As one team, we’ll learn, innovate, and continue to deliver on our promise to bring the joy and community of gaming to more people.” This synergy aims to create a culture of inclusivity, where everyone is welcome and feels empowered to deliver their best work, underscoring Microsoft’s long-standing commitment to ‘Gaming for Everyone.
Looking ahead, Spencer highlighted the exciting opportunities this union presents. “Together, we’ll create new worlds and stories, bring your favorite games to more places so more players can join in, and we’ll engage with and delight players in new, innovative ways,” he said.
A good example of such innovation is the commitment to expanding game availability across the globe. Immediately after the merger, Microsoft opened up cloud streaming for Activision Blizzard games in the European Economic Area, echoing a prior commitment to the European Commission.
But Microsoft didn’t stop there. To commemorate this union, they released a trailer on YouTube. Blending nostalgia and anticipation, the trailer showcases characters from both Xbox and Activision Blizzard games, bringing forth a sentiment of unity under the recurring themes of “team” and “family.” From the iconic figures of the gaming world to a questionable Crash Bandicoot segment, the video is a rollercoaster of emotions.
However, every story has its challenges. Not everyone is cheering as Microsoft basks in its newfound glory. As reported previously, there still looms the shadow of opposition from the Federal Trade Commission in the US. The body has indicated its intentions to move forward with an in-house challenge. Finally, while it’s not related, Microsoft is facing a hefty tax bill, courtesy of the IRS.
Activision Blizzard King’s integration with Xbox is more than just an addition of franchises. Microsoft now has under its umbrella a rich collection of IPs, ranging from Candy Crush and Call of Duty to Overwatch, Warcraft, and StarCraft.
Echoing the sentiments from multiple announcements, Spencer reiterated, “For the millions of fans who love Activision, Blizzard, and King games, today is a good day to play.” He ensures that every gamer, irrespective of their preferred platform – Xbox, PlayStation, Nintendo, PC, or mobile – remains welcome in this expanded community.
In a nutshell, this deal signifies Microsoft’s colossal push into the gaming sector, with the acquisition even surpassing its earlier purchases such as LinkedIn in 2016 and Bethesda in 2021. As fans wait for updates on the integration of beloved games onto the Xbox Game Pass and other platforms, one thing is certain: the gaming world is on the cusp of an exciting new era.
