Microsoft buying Activision Blizzard in $68.7B deal
Last updated 11:53 a.m. ET
Microsoft announced early Tuesday that it would be purchasing Call of Duty and World of Warcraft house Activision Blizzard in a gigantic acquisition.
The deal is worth $68.7 billion, or $95 per share, and comes amid a tumultuous time for Activision Blizzard which is under scrutiny for toxic workplace conditions. Activision Blizzard has nearly 10,000 employees.
Microsoft, house of Xbox, said the deal will "bring the joy and community of gaming to everyone, across every device."
Bobby Kotick, who was subject to an explosive recent report in The Wall Street Journal in which he was accused of misconduct, "will continue to serve as CEO of Activision Blizzard," according to a statement from Microsoft. Kotick will be kept on board "to further strengthen the company’s culture and accelerate business growth," the statement added. There's no word on whether Kotick will stay on board for the long term.
New York Times tech reporter Karen Weise tweeted that she spoke directly with Kotick and asked if he will remain Activision Blizzard's CEO after the close of the deal. He declined to say if he would remain on board and said, "Post-close I will be available as needed."
Microsoft and Activision Blizzard will operate independently until the deal officially closes. At the close of the deal, the Activision Blizzard business will report to Phil Spencer, the Xbox head now turned Microsoft Gaming CEO following today's news.
Microsoft CEO Satya Nadella said in a written statement, "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."
In a conference call discussing the deal,
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