The conversation about Microsoft’s acquisition of one of the most valuable gaming companies Activision Blizzard was one that had been in the airwaves for quite some time. This caused a big ruckus online when the deal was revealed for the acquisition — a whooping $68.7 billion, making it one of the most influential deals in the history of gaming.
After a series of probes, inquiries and lawsuits which slowed down the merger, the deal was finally announced on the 13th of October, 2023. This ended the long dramatic saga of the Activision merger and now has become a subsidiary to the Microsoft company.
The merger had already been approved in the year 2022, in the following countries: Serbia, Chile, Brazil and Saudi Arabia, alongside the others that had been approved earlier in the spring of 2023. As of October, 2023, the UK, European Union, China, Japan, South Korea, New Zealand and South Africa have joined the list of markets approving the merger.
Photo credit: Venture Beat
Microsoft’s acquisition of Activision Blizzard is said to be the need to consolidate itself as the leading name in gaming, while further improving its presence in the gaming industry and the metaverse. This also makes them a major stakeholder in esports, where they get access to multi-million dollar IPs like Call of Duty, Overwatch, Diablo, and WarCraft franchises.
This acquisition will mean a lot for legitimacy in the esports sector, where investor confidence may be boosted and companies could get some support financially. Although there could be a probable downsizing or cancellation of certain franchise experiments or leagues, this financial footing could bring a positively huge turnaround in revenue. Nonetheless the longevity of the leagues could be determined by vote from the franchises, regardless of the current business model, and wanting out could be within the brackets of about $6 million.
Esports has helped create jobs for lots of people. Interested in knowing about the business side of esports? Listen to the Gamers Change Lives Podcast! We get experienced guests from all around the world featuring.
Written By Jeffrey Osei-Agyeman
