Thursday, January 20, 2022

The Microsoft Corporation Set To Purchase Activision Blizzard

 


The Microsoft Corporation is in the process of buying Activision Blizzard. This purchase could change the nature of the video game industry. Popular franchises such as the Call of Duty, World of Warcraft , and Fall Out would come under their ownership. The two companies have yet to finalize transactions. Microsoft has been reported to pay $68.7 billion dollars for Activision. The two corporations will continue to operate independently until a final deal and price of purchase is made. The concern is that games that are available on multiple platforms will stop. Microsoft is responsible for the Xbox system and might wnat to have an edge on its competitors. Another possible problem is that creativity could be effected by a change in ownership. If one company has too much dominance, consumers have very little options. The video game industry does not need a monopoly. A industry crash similar to 1983 would be worse if  electronic entertainment  functioned on such a model. Activision Blizzard was not failing by business measures. The sale comes at a time when Activision Blizzard  faces allegations of a hostile work environment and CEO Bobby Kotick being subpoenaed by the Securities and Exchange Commission. The reason for the sale could be more public relations related, rather than business acumen.     

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