Microsoft will purchase Activision for around Rs. 5 lakh crore, making it the largest game acquisition ever.
A well-known name in the gaming community, Activision, may soon fall under the control of Microsoft as the latter looks to dominate the sector with its Xbox and PC offerings. Here are the implications of the record deal for the two businesses and the ideal gamer.
By Sarthak Dogra: In what will clearly be the biggest acquisition in the history of the gaming industry, Microsoft has confirmed that it will acquire Activision Blizzard for $68.7 billion. To make the jaw-dropping amount easier to fathom, know that the deal stands worth about Rs 5,12,000 crore or Rupees five lakh twelve thousand crores in Indian currency.
Following today's announcement of the all-cash transaction by Microsoft, Xbox, the gaming arm of the company, and Activision both revealed plans to collaborate on upcoming titles. Microsoft notes that after the deal closes, it will rank as "the third-largest gaming company in the world by revenue." It will fall just behind Tencent and Sony as a result.It will fall just behind Tencent and Sony as a result.
For those who don't know, the parent company of Activision, a US-based video game producer, is Activision Blizzard. Activision is behind renowned games including "Warcraft," "Diablo," "Overwatch," "Call of Duty," and "Candy Crush." Activision is incredibly well-liked among the gaming community as a result of its games and frequent eSports events.
The corporation today employs over 10,000 people and has studios all over the world. Bobby Kotick will continue to lead Activision Blizzard after the acquisition. The business will carry on as usual, concentrating on driving business growth. Activision Blizzard business reporting will go to Phil Spencer, CEO of Microsoft Gaming.
According to Microsoft, the transaction is anticipated to be completed in 2023. Despite having received the blessing of the boards of directors of both Activision Blizzard and Microsoft, the transaction is still subject to customary closing requirements as well as "the conclusion of regulatory review and Activision Blizzard's shareholder approval."
In simple word.
- Microsoft has declared its intention to acquire Activision Blizzard, a significant US video game producer.
- After the acquisition, Activision Blizzard will answer to Phil Spencer, the CEO of Microsoft Gaming.
- Soon, Xbox Game Pass and PC Game Pass will both provide all of Activision's video game titles.
Then what will the acquisition mean for gamers?
Microsoft emphasises that, with Activision Blizzard at its side, it intends to make a significant splash in the smartphone gaming market. It even makes hints about future mobile phone releases of popular franchises like "Halo" and "Warcraft." For the purpose of acquiring the mobile gaming market, it draws on Activision's prior success with titles like "Candy Crush" on mobile devices.
With the acquisition, Microsoft also intends to increase the number of games available through its Xbox Game Pass and PC Game Pass services. According to Phil Spencer's announcement on the Xbox website, the business would try to include "as many Activision Blizzard games" as it can in the two subscription services.
The well-known titles from Activision will hasten Microsoft's plans for cloud gaming. It aims to encourage "more people in more places around the world to participate in the Xbox community" through the many platforms offered by the business, all of which will still be supported by Microsoft after the acquisition.
