Bobby Kotick and Phil Spencer Discuss Microsoft's Acquisition of Activision Blizzard on CNBC

wowhead.com:

Activision Blizzard CEO Bobby Kotick and Microsoft Head of Gaming Phil Spencer appeared on CNBC Television's 'Squawk on the Street' to break down Microsoft's decision to buy Activision. The biggest acquisition in gaming history, that $68.7 billion deal came a shock to everyone this morning, especially considering Spencer remarks last year, in which he said Xbox would be reevaluating their relationship, implying that Microsoft would be distancing itself from Activision rather than drawing closer together.

Throughout the five minute segment, Kotick spoke about the long-time partnership between Microsoft and Activision, citing the ongoing development of metaverse platforms as a key factor in the decision. Spencer elaborated further, citing their close working relationship and a global market of three billion gamers as an influence, while noting that the acquisition came together very quickly — beginning with talks late last year.

Spencer sidestepped a question on everyone's mind, as to whether Activision's dwindling share price was a factor in the acquisition — down about 27% year to date — though since the announcement, Activision's market price has skyrocketed +25% to $81.82, very close to the Microsoft's purchasing price of $95 per share and Activision Blizzard's all time high of $103.81 in February of last year. The Activision Blizzard stock price has gone through a remarkable series of twists over the last six months.

Also questioned was how Kotick was addressing concerns raised in reports shared by the Wall Street Journal, to which he reiterated his previous commitments to set an example within the industry. Turning the same question back to Spencer, the head of Xbox acknowledged Activision Blizzard's current plans