It's official: Activision Blizzard is now owned by Microsoft

Update, 13 October 2023, 15:00: Xbox boss Phil Spencer has announced on X (formerly Twitter) that Activision Blizzard is now part of Microsoft: "Today is a good day to play. We're officially welcoming Activision Blizzard King to Team Xbox. Together, we will create stories and experiences that bring players together in a culture that empowers everyone to be their best and celebrate diverse perspectives."

The 69 billion dollar deal is Microsoft's largest acquisition in the company's history. It makes the company the third-largest player in the gaming market behind Tencent and Sony. Over 8500 Activision Blizzard employees have a new employer. The current CEO Bobby Kotick will remain in his position for the handover until the end of 2023.

The mega takeover of Activision Blizzard by Microsoft has cleared the final hurdle: The UK's Competition and Markets Authority (CMA) was the last important authority to sign off on the deal. In April, the CMA had still blocked the takeover. It saw a major risk that Microsoft could gain a monopoly position in cloud gaming as a result.

To address these concerns, Microsoft is now selling the cloud gaming rights for all Activision-Blizzard titles to date and future titles for the next 15 years to Ubisoft. The licences have no expiry date. This has had the desired effect. The CMA wrote on X on Friday morning: "We have approved Microsoft's new deal to buy Activision without cloud gaming rights." In the detailed statement, CMA chief executive Sarah Cardell can be quoted as saying: "By selling Activision's cloud streaming rights to Ubisoft, we have ensured that Microsoft does not have a stranglehold on this important and fast-developing market."

End of a 20-month odyssey

This clears the way for Microsoft. The company is delighted. "We are grateful for the CMA's thorough review and today's decision," writes President Brad Smith on X. Activision Blizzard CEO Bobby Kotick writes in an email to all employees that they are looking forward to the next joint chapter with Microsoft and the endless opportunities it will open up for gamers.

The EU had already approved the deal in May. The US Federal Trade Commission (FTC) wanted to block it, but was prevented from doing so by a court. The FTC has appealed against the decision, but a decision will not be made until December. In the meantime, the FTC is powerless and Microsoft can finalise the takeover.

It is the provisional end of a 20-month odyssey of legal disputes for Microsoft and Activision Blizzard. The companies announced the mega-deal in January 2022 - with a penalty payment of three billion US dollars for Microsoft if it is not concluded by 18 July 2023. Due to legal problems, the parties have extended this deadline to 18 October. Now that the last important regulatory authority has given its O.K., the two companies are expected to announce the finalisation of the deal later today.