After announcing its proposal to acquire Activision Blizzard back in January 2022, Microsoft has finally closed the deal following approval from the UK’s Competitive Market Authority.
The UK regulatory authority was the last hurdle Microsoft faced as it blocked the deal due to cloud gaming future concerns. Microsoft restructured the deal and transferred cloud gaming rights for Activision games to Ubisoft. Similarly, the US Federal Trade Commission initially sued Activision to block the deal but failed to secure a preliminary injunction to stop Microsoft from finalizing it.
The $68.7 billion deal is Microsoft’s largest acquisition in the company’s history and is also the most expensive in the gaming industry. With Activision Blizzard now in their portfolio, Microsoft shared that it is the third largest gaming company by revenue, behind only Tencent and Sony.
In addressing the deal, Xbox Head, Phil Spencer said:
“We love gaming. We play games, create games, and know first-hand how much gaming means to all of us as individuals and collectively, as a community. And today, we officially welcome Activision Blizzard and their teams to Xbox. They are the publishers of some of the most played and most beloved franchises in gaming history across console, PC and mobile. From Pitfall to Call of Duty, World of Warcraft to Overwatch, Candy Crush Saga to Farm Heroes Super Saga, their studios have pushed the boundaries of gaming for players around the world.”
What happens to Call of Duty and Other Games under Microsoft now?
Following the acquisition, Microsoft will add several of Activision Blizzard’s games to Xbox Game Pass. However, games like Diablo IV and Modern Warfare will not be available on the Game Pass in 2023. For Call of Duty, PlayStation players will still be able to play the game normally, as Microsoft and Sony have already signed a 10-year deal to keep the Call of Duty franchise on PlayStation.
