Microsoft has made its largest purchase ever in acquiring the video game giant, Activision, on Tuesday earlier this week. The announcement came on a conference call with investors. Read below for details.
What is Activision?
Activision is the leading video game publishing company behind some of the world’s most well known favorites including Call of Duty, World of Warcraft, Diablo, and Candy Crush.
Activision actually came under scrutiny last summer after multiple complaints of toxic work culture and sexual harrassment. Multiple employees were let go, but the CEO, Bobby Kotick, stayed on.
It is rumored that Kotick will take his departure once the Microsoft deal closes, since there have been numerous calls for him to step down.
The Deal
Activision’s main role in the acquisition is to help Microsoft into the leadership foray of our new, uncharted metaverse that will span all channels of digital entertainment. Microsoft will seek to expand its mobile gaming as well as boost its subscription, cloud-based gaming services.
The acquisition is valued at $68.7 billion and will make Microsoft the third largest video game maker in the world. The deal is expected to close sometime within the next 18 months.
