Why did Activision sell to Microsoft?

Microsoft says it needs the deal to boost the Xbox

Microsoft says buying Activision would let it put more big titles on Game Pass - its Netflix-style subscription - and make more games for mobile phones, where there are big profits to be made.

What happened to Microsoft buying Activision?

A screen shot from “Call of Duty: Modern Warfare 3.” The popular shooter series is one of the most lucrative video game franchises. Microsoft made it clear on Tuesday that there will be no $69-billion deal to buy Activision Blizzard unless it comes with the blockbuster title “Call of Duty.”

Why did Activision sell to Xbox?

“Its vision for the transaction is simple: Xbox wants to grow its presence in mobile gaming, and three-quarters of Activision's gamers and more than a third of its revenues come from mobile offerings,” according to Microsoft.

Did Microsoft buy Activision?

Jan. 18, 2022: Microsoft is buying embattled Call of Duty publisher Activision Blizzard in the largest gaming industry acquisition ever. That means a lot of things, including that the head of Xbox, Phil Spencer, will soon be veteran CEO Bobby Kotick's new boss.

What does Microsoft buying Activision mean?

The deal would grant Microsoft ownership over globally recognized franchises like Call of Duty, World of Warcraft, and Candy Crush, to name a few. It also creates a new division in the company, Microsoft Gaming, to be led by the company's head of its Xbox division, Phil Spencer.

Here's Why Activision Was Sold So Quickly To Microsoft

What is happening with Microsoft and Activision?

Activision Blizzard shareholders overwhelmingly voted to approve Microsoft's $68.7 billion acquisition offer. The investors who controlled 98 percent of shares in the company collectively gave a thumbs-up to the proposed transaction, letting it advance to the regulatory approval stage.

What happens if Xbox buys Activision?

Activision Blizzard own the Call of Duty franchise, one of the biggest in gaming history. If Microsoft's acquisition deal closes, they will own the Call of Duty series, and be able to do whatever they want with it on their Xbox systems going forward. Microsoft could have bought other companies, but it already did.

Why would Microsoft want to buy Activision Blizzard?

Microsoft Wants Activision for Its Games. Activision has a lot of popular games that fit into Microsoft's plans to build a vast library of titles that can be played on all sorts of devices.

What did Microsoft agree to pay for Activision?

On January 18, 2022, Microsoft announced its intent to acquire Activision Blizzard for $68.7 billion in an all-cash deal, or approximately $95 per share.

Will Microsoft Activision deal be approved?

Microsoft's proposed acquisition of Activision Blizzard is likely to be approved by EU regulators, Reuters reports. The software giant struck licensing deals with Nintendo and Nvidia recently, and Reuters says these deals are likely to satisfy lawmakers in Europe to help Microsoft clear its $68.7 billion deal.

Does Microsoft own Blizzard yet?

It said it had “reached the conclusion that the transaction is unlikely to result in substantially restraining competition in any particular fields of trade.” Here's a list of all the countries that have approved Microsoft's acquisition of Activision Blizzard so far: Japan.

Will the Microsoft Activision deal close?

Microsoft Still Targets July 2023 as Closure Date for Its $69 Billion Activision Blizzard Deal.

Why is FTC suing Microsoft?

Like regulators in the EU and UK, the FTC is concerned that the deal could stifle competition in the gaming sector. Microsoft's plan to acquire gaming giant Activision Blizzard has a major challenge ahead, as a US regulator is seeking to prevent it.

Did Microsoft overpay for Activision?

Most people think that Microsoft overpaid with the $70 billion price tag on Activision Blizzard. Not necessarily. People tend to look at this as a consolidation deal, where Microsoft buying a company at a decline, which is not. The important point of the deal was to facilitate Category Acceleration.

What will happen to my Activision shares?

Following closing, all Activision Blizzard employee shareholders will be treated the same as other shareholders and receive $95.00 for each share of Activision Blizzard stock that they own.

What are the benefits that Microsoft will gain if they acquire Activision Blizzard?

According to the conclusion, the benefits of the acquisition were clear— taking over Activision Blizzard's game production process and expanding into more markets on top of it, while the potential threat was based on Microsoft's management capabilities and the feasibility of the metaverse concept.

Is Microsoft confident about Activision deal?

Xbox CEO Phil Spencer says he's confident its Activision-Blizzard acquisition deal will receive final approval from global regulatory bodies. Xbox head Phil Spencer remains confident that Microsoft's Acquisition of Activision-Blizzard will go through.

Why is Microsoft buying game companies?

One of the major tenets of Microsoft's purchase of Mojang was to allow the company to maintain its freedom and autonomy over its IP, which would become a core staple of Microsoft's acquisition acumen going forward.

Will Xbox save cod?

Does Cod save your progress? Yes. Call of Duty will automatically save your progress in the game.

Does Xbox fully own Activision?

August 24, 2022 - Xbox Launches Website Outlining Benefits of the Acquisition. To spell out the benefits of Xbox's acquisition of Activision Blizzard to the public, Microsoft launched a website that highlighted its “vision for gaming,” and the positives of what could become the biggest deal in video game history.

Why can't Xbox buy Activision?

The European Commission has objected to Microsoft's buyout of Activision Blizzard, setting another roadblock in the purchase. Following a lawsuit by gamers over monopolizing the gaming market, Microsoft has hit another roadblock in its attempt to buy Activision Blizzard (ABK) for nearly $70 billion.

Who owned Activision before Microsoft?

The company was founded as Activision, Inc. on October 1, 1979 in Sunnyvale, California, by former Atari game developers upset at their treatment by Atari in order to develop their own games for the popular Atari 2600 home video game console.

Does Sony own Activision?

Microsoft's Acquisition of Activision Blizzard.

Why Sony doesn t want Microsoft to buy Activision?

Microsoft and Sony have been at odds over the former's purchase of Call of Duty maker Activision Blizzard. Sony is concerned that the Windows maker might make the game exclusive to Xbox but those claims have fallen flat after Microsoft announced multi-year deals with Nintendo and Nvidia.

What was Microsoft found guilty of?

The Legal Case. Microsoft was formally charged with constituting a market monopoly by making it difficult for users to install competing software and simultaneously making it difficult to uninstall the company's browser, Internet Explorer.