MiCROSOFT BUYS US GAMING ACTIVATION BLIZZARD FOR 69 BILLION DOLLARS

Microsoft has agreed to buy Activision Blizzard, the video game maker, for about 69 billion dollars net cash, in the biggest deal ever for the tech company founded by Bill Gates.
With this movements, the creators of titles such as Call of Duty, Warcraft, Candy Crush, Tony Hawk, Diablo, Overwatch, Spyro, Hearthstone, Guitar Hero, Crash Bandicoot, StarCraft, who have studios around the world with almost 10,000 employees, will join to Microsoft and Xbox.

Under the terms of the deal, Microsoft would pay shareholders of the company behind gaming franchises such as Call of Duty, Warcraft and Candy Crush $95 per share, a 45 per cent premium on its closing price last week as It is the latest in a wave of dealmaking in the gaming sector. Last week Take-Two Interactive, the maker of the popular Grand Theft Auto game series, agreed to buy rival Zynga, the maker of Farmville and Words with Friends, for $12.7bn. 

“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 as 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.”said Satya Nadella, chair and chief executive of Microsoft.

Grabbing the sex harassment scandal-hit firm as Microsoft seeks to boost its power in video games with Activision blizzard will make Microsoft the third-largest gaming company by revenue, behind Tencent and Sony.

“This acquisition will accelerate the growth in Microsoft’s gaming business across mobile, PC, console and cloud and will provide building blocks for the metaverse,” said Microsoft.

The California-based maker of “Candy Crush” has been hit by employee protests, departures, and a state lawsuit alleging it enabled toxic workplace conditions and sexual harassment against women.
Over the past seven months, the company has received about 700 reports of employee concerns over sexual assault or harassment or other misconduct, in some cases, separate reports about the same incident, The Wall Street Journal has reported.

Until the transaction closes, Activision-Blizzard and Microsoft Gaming will continue to operate independently. Once the move is complete, Activision-Blizzard will report directly to Phil Spencer, CEO of Microsoft Gaming, via Bobby Kotick, who remains CEO of Activision.

"Gamers around the world love Activision Blizzard as it will build a future where people can play the games they want, virtually anywhere they want" said Phil Spencer, CEO of Microsoft Gaming.


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