Microsoft announced on Tuesday that it would buy game publisher Activision Blizzard for $68.7 billion (roughly Rs. 5,10,990 crore), a deal that would immediately make it a larger video-game company than Nintendo.
Microsoft will acquire Activision Blizzard for $95.00 per share, in an all-cash transaction valued at $68.7 billion, inclusive of gaming company’s $6.37 billion net cash. Bobby Kotick will continue to serve as CEO of Activision Blizzard and will report to Phil Spencer, CEO, Microsoft Gaming.
Activision Blizzard is the maker of hugely popular video games like “Warcraft,” “Diablo,” “Overwatch,” “Call of Duty” and “Candy Crush”. It also runs global eSports activities through Major League Gaming. The company has studios around the world with nearly 10,000 employees and makes around $8 billion a year.
“Gaming is the most dynamic and exciting category in entertainment across all platforms today and will play a key role in the development of metaverse platforms,” said Satya Nadella, chairman and CEO, Microsoft on the acquisition.
“We’re investing deeply in world-class content, community and the cloud to usher in a new era of gaming that puts players and creators first and makes gaming safe, inclusive and accessible to all.” he added.