Image Credit: ING, 2022
Microsoft’s Now Expanded Gaming Library
On January 18th, 2022, Microsoft announced it is purchasing Activision Blizzard for almost $70 billion, making it the most expensive acquisition in gaming history. Following their then-record $7.5 billion acquisition in 2022 of ZeniMax Media, which gave the tech giant the rights to The Elder Scrolls, Starfield, and Doom to name a few, it will soon climb to becoming the third-largest gaming company.
With this acquisition, Microsoft now owns big-name gaming franchises such as Call of Duty, Overwatch, World of Warcraft, and Candy Crush. However, CEO, Phil Spencer discussed with The Washington Post Microsoft may not only focus on current franchises, and will be looking into ways to bring life back to dormant franchises like King’s Quest, Guitar Hero, HeXen, Crash Bandicoot, Tony Hawks’ skateboard series, and Spyro the Dragon.
While the news is exciting, the game industry was quick to respond to the news with a range of opinions on how the acquisition will affect the highly competitive gaming industry, and if Activision Blizzard’s ongoing sexual harassment and discrimination scandal will be affected.
The PR Disaster of Activision Blizzard Microsoft has also Acquired
While this acquisition is exciting for the tech giant, there are a lot of concerns on how they will handle the public relations disaster Activision Blizzard is responsible for. According to Phil Spencer, the process to buy out the gaming company begin at the end of 2021, and this included working with Activision Blizzard to investigate into lawsuits alleging the company on charges of sexual harassment and gender-based discrimination. With these major accusations, many influential gamers are questioning if the company will be held responsible. Microsoft is said to focus on creating a space for the recently acquired studios to feel empowered to do their best work, following an emerging effort from Activision Blizzard’s employees to unionize.
The acquisition is an all-cash deal compared to a transfer of ownership to show the clear-cut exchange, leaving Microsoft with entire risk of the expected synergy value not materializing. Currently, both companies are operating independently until the deal is complete, then Activision Blizzard will report to Phil Spencer, CEO of Microsoft Gaming.
While we wait to see what Microsoft will release with its new library of games, ensure your device is ready! Visit our gaming repair page to see how our techs can help!
“The Video Game Industry Reacts to Microsoft Buying Activision Blizzard King,” Joseph Knoop, ING, 2022
“Xbox CEO Phil Spencer on reviving old Activision games as Microsoft positions itself as tech’s gaming company,” Gene Park, The Washington Post, 2022