It's official: Xbox now owns Call of Duty, Overwatch, Diablo, and many more of the most popular video game franchises in the world. The long-awaited acquisition of Activision Blizzard by Microsoft has finally been completed, after facing numerous regulatory hurdles and legal challenges. The deal, which was announced in January 2022, is the largest in gaming history, valued at a whopping $68.7 billion. In this article, we'll explain everything you need to know about the Xbox-Activision Blizzard merger, how it came to be, and what lies ahead. How did trouble begin for the deal? The first hiccup in the road to the Microsoft Activision deal came on April 1, 2022, when four US senators, including Bernie Sanders, penned a letter to the Federal Trade Commission (FTC). They expressed concerns about tech industry consolidation and its impact on the workforce, particularly referring to the allegations of sexual harassment at Activision Blizzard. This letter set the stage for a bunch of challenges to the deal. Despite the initial setbacks, on April 28, 2022, 98% of Activision Blizzard shareholders voted to approve the acquisition. The deal was given the green light at $95 per share, but share prices took a dip, stirring doubts about shareholder confidence. The UK's unexpected twist On July 6, 2022, the UK government's Competitions and Markets Authority (CMA) threw a curveball by announcing an investigation into the deal. Responsible for ensuring fair competition in the UK, the CMA expressed concerns about the potential harm to competition, higher prices, lower product quality, and reduced choice. Amid this turmoil, one game stood at the center of attention - Call of Duty. While questions regarding the game's exclusivity had been circulating since day one, it wasn't until later that the possibilities began to materialise. Microsoft and Sony engaged in a public exchange of accusations, further fueling the anticipation and anxiety of the gaming community. When did the Microsoft-Activision deal first come to the fore? The buzz surrounding the Microsoft Activision deal started on January 18, 2022. However, this was merely the start of a lengthy approval process. The US Federal Trade Commission (FTC) and the European Commission (EC) both filed complaints to block the acquisition, citing concerns about market competition. Why was the Microsoft-Activision deal approved? Surprisingly, the European Union gave the Microsoft-Activision deal the green light, citing "significant procompetitive effects" and disparities in market share between the two companies. Regulators were also appeased by Microsoft's concessions to ensure rivals' access to Activision's games. To put competition concerns to rest, Microsoft committed to selling streaming rights for Activision's games, paving the way for approval. But why did Microsoft want to buy Activision? There are several factors at play actually. Most notably, this deal grants Xbox access to an array of iconic video game franchises – Call of Duty, Candy Crush, Diablo, and more. These IPs will not only yield new titles but also enhance the Xbox Game Pass offerings. Activision Blizzard boasts nearly 400 million monthly active players in 190 countries and has the potential to significantly boost Game Pass, Microsoft's Cloud Gaming endeavours, and its rivalry with Sony and Nintendo. When are Activision games coming to Xbox? The gaming community's burning question revolves around when they can expect to play Activision's titles on Xbox. Microsoft's Phil Spencer offered a glimpse into the future, stating, "Today we start the work to bring beloved Activision, Blizzard, and King franchises to Game Pass and other platforms." Unfortunately, Modern Warfare 3 and Diablo IV, won't be part of the Xbox Game Pass in the near future, according to recent announcements. Microsoft's acquisition transforms it into a publishing powerhouse, with more than nine game studios from Blizzard and 11 mobile gaming studios under its banner. The deal also brings a whopping 8,500 Activision employees into Microsoft.
