Microsoft has made the biggest acquisition.
The company is buying Activision Maker ‘Call of Duty’ Blizzard for $ 68.7 billion.
This is also the biggest agreement in the history of the game industry.
Microsoft said that they expected an agreement to close in the fiscal year 2023, which began in July.
The agreement was greater than the acquisition of LinkedIn $ 26 billion Microsoft.
This agreement also broke the record set by the Take-two interactive acquisition of Zynga cellular game publisher for more than $ 11 billion.
Here are all the main details about the agreement is the dealthe deal of cash announced by Microsoft is the acquisition of all cash.
Microsoft’s offer of $ 95 per share represents a 45% premium to close Friday Activision.
Activision shares will last 27% at $ 83.11.
What Activision Blizzard brought to the table for Microsoft Microsoft equipment $ 68.7 billion will change Microsoft, the Xbox game system maker, becoming one of the largest video game companies in the world.
This will help companies compete with technology rivals such as Meta, before Facebook, in creating a deep virtual world to work and play.
Facebook is considered a leader in what metaverse called, the name given to the virtual world.
The Activision game library can help offer the Microsoft Xbox Gaming platform as the edge above the Playstation Sony, which for years enjoys a more stable exclusive game flow.
According to Newzoo, the Microsoft game market share is 6.5% in 2020 and adding Activision can bring it to 10.7%.
This acquisition encourages Microsoft to pass through Nintendo as the third largest video game company with global income, behind Sony and Tencent Giant Chinese technology.
Microsoft said that the acquisition would help her subscribe to the Xbox pass pass game.
Microsoft CEO Satya Nadella on Acquisition “Gaming is the most dynamic and attractive category in entertainment on all platforms today and will play a key role in the development of the Metavers platform,” said Chief Executive Microsoft Nadella.
Who will lead the new division, the Activision business unit will then report to Phil Spencer, which has led the Xbox Microsoft division and will now function as Microsoft Gaming CEO.
“After close, we will offer Activision Blizzard games that we can in the Xbox Game Pass and PC Game Pass, both new titles and games from the extraordinary Activision Blizzard catalog,” said CEO of Microsoft Gaming Phil Spencer.
Can lead to anti-trust supervision, similar to Google and Facebook, for MicrosoftMicrosoft so far to avoid the type of supervision faced by Google and Facebook.
However, the agreement will make it the third largest gaming company in the world.
This might put it under the anti-trust regulator radar in the US and Europe.
However, Microsoft was reported to have agreed to pay a $ 3 billion break fee if the agreement fell, indicating that it was sure to win an antitrust approval.
What is the biggest hits from Activision Blizzard.
Great deterioration in its shares.
The company still handled the accusations and said that it had fired or encouraged more than three dozen employees and disciplined 40 others since July.
In conference calls with analysts, Microsoft CEO Nadella said, “It is very important for Activision Blizzard to advance in the renewal cultural commitment,” adding “the success of this acquisition will depend on it.” Microsoft has built ArsenalMicrosoft gaming has made a breakthrough in this sector.
Has been investing including buying “Minecraft” Mojang Studios and Zenimax in multibilion-dollar offers in recent years.
Last year, Microsoft spent $ 7.5 billion to acquire Zenimax Media, the parent company from the Bethesda Softworks video game publisher, which was behind the popular video of the elder game, Doom and Fallout.
Microsoft makes the biggest acquisition in history, is the third largest gaming company in the world: 6 reasons behind the agreement of all the money and more
