Xbox boss Phil Spencer has explained the delay in getting Activision Blizzard's back catalogue added to Xbox Game Pass, and blamed the hold-up on the lengthy and difficult process of sealing the deal.
15.10.2023 - 10:53 / tech.hindustantimes.com / Phil Spencer / Bobby Kotick
After two years co-piloting the biggest acquisition in video game history past an onslaught of challenges, Xbox CEO Phil Spencer now moves on to his next quest: making Microsoft's takeover of Activision Blizzard worth the hassle. Microsoft, which owns the Xbox gaming system, closed its $69 billion deal to buy game-maker Activision Blizzard on Friday after fending off global opposition from antitrust regulators and rivals.
It marks a career-defining moment for Spencer, who first joined Microsoft as an intern in 1988 and has helmed Xbox since 2014. After years of lagging behind rival Sony's PlayStation, acquiring Activision's collection of popular game titles gives Microsoft a rare chance to catch up.
“His job really just starts today,” said analyst Gil Luria, technology strategist at D.A. Davidson, after the deal's closure. “All he's been doing is preparing for today where he actually gets to integrate the business.”
And it marks the end of an era for Activision Blizzard CEO Bobby Kotick, who's led the Southern California maker of Call of Duty and other blockbuster franchises since 1991 after helping to buy it from bankruptcy. Kotick said he's assisting with the transition until the end of the year.
Activision Blizzard was still reeling from worker protests, lawsuits and government investigations over allegations of workplace harassment against women and unequal pay when Microsoft privately reached out about buying the company in 2021.
When the companies announced a planned merger in January 2022, Microsoft CEO Satya Nadella made clear it would be "critical for Activision Blizzard to drive forward” on its commitments to improve its workplace culture.
That was just the start of Microsoft's challenges in bringing home the deal. After negotiations with Spencer faltered, top rival Sony brought its concerns about losing access to the Call of Duty franchise to regulators around the world. The strongest opposition came from U.S. antitrust enforcers emboldened by President Joe Biden's administration to take a tougher look at big tech deals, as well as their counterparts in the United Kingdom who finally relented in approving the deal Friday only after Microsoft agreed to make concessions.
“Microsoft didn't have a choice. If they wanted to be long-term competitive with Sony and the PlayStation platform, they need to have a much more robust content offering,” Luria said.
But, “in retrospect, they should have read the writing on the wall in terms of the difficulty of closing the deal,” Luria said. “They needed to do the deal to stay competitive, but knowing what they know now, they might have done it differently.”
A key moment came in June, when a federal judge weighed the U.S. Federal Trade Commission's attempt to block
Xbox boss Phil Spencer has explained the delay in getting Activision Blizzard's back catalogue added to Xbox Game Pass, and blamed the hold-up on the lengthy and difficult process of sealing the deal.
US tech giant Microsoft has completed its acquisition of games giant Activision Blizzard.
Microsoft has completed their vast $68.7 billion acquisition of Activision Blizzard, less than half a day after the UK Competition Markets Authority (CMA) gave their approval to a revised package of concessions.
Xbox maker Microsoft closed its $69 billion (nearly Rs. 5,75,620 crore) deal for Activision Blizzard on Friday, swelling its heft in the video-gaming market with best-selling titles including Call of Duty to better compete with industry leader Sony.
Microsoft’s acquisition of Activision Blizzard is finally complete, with the $68.7 billion deal gaining approval from the UK’s Competition and Markets Authority (CMA). In a new email to employees, CEO Bobby Kotick has confirmed that he will stay on until the end of 2023 to help with the transition.
Microsoft has beencleared to acquire Activision Blizzard by UK regulators, removing the last hurdle standing in the way of closing the deal.
Microsoft is apparently not spooked by closing the deal on the unlucky day of Friday the 13th.
Twenty-one months since Microsoft’s Activision Blizzard deal was announced, the $68.7 million merger is complete. It’s a new era for both Activision Blizzard and Microsoft as the ink dries on the video game industry’s largest acquisition, which puts Microsoft and its Xbox brand in a vital position moving forward. Change is expected at both companies, starting at the top: Activision Blizzard CEO Bobby Kotick is expected to exit the company after a transition that’ll keep him on “through the end of 2023,” according to Xbox boss Phil Spencer.
UPDATE: Xbox CEO Phil Spencer has announced that Activision Blizzard King is officially a part of Microsoft. This means that a cornucopia of big franchises, from “Pitfall to Call of Duty, World of Warcraft to Overwatch, Candy Crush Saga to Farm Heroes Saga” now fall under the Xbox banner.
Xbox boss Phil Spencer has explained that Activision Blizzard CEO Bobby Kotick will remain with the publisher "through the end of 2023."
Microsoft has completed their vast $68.7 billion acquisition of Activision Blizzard, less than half a day after the UK Competition Markets Authority (CMA) gave their approval to a revised package of concessions.
The decision in Microsoft's legal case against the US Federal Trade Commission (FTC) is a historic one, but for those who don't have a law degree, it can be hard to understand. The case surrounds the Microsoft Corporation's attempt to purchase the game developing and publishing powerhouse Activision Blizzard, Inc., an enormous conglomerate that counts,, and among its flagship properties. Microsoft first announced its plans to buy Activision Blizzard in January 2022, and the FTC's review began shortly thereafter. The legal battle began in earnest by June 2023, when the FTC filed its first documentation in the United States District Court for the Northern District of California.