What Will Happen After Microsoft Buys Activision?
Microsoft’s acquisition of Activision Blizzard, the parent company of popular gaming franchises such as Call of Duty, Overwatch, and World of Warcraft, has been a highly anticipated and debated topic in the gaming industry. As the deal is expected to close soon, many gamers and investors are wondering what the future holds for the company and its beloved franchises. In this article, we will explore what can be expected after Microsoft buys Activision.
Acquiring Valuable IPs
The acquisition gives Microsoft access to multi-million dollar IPs such as Call of Duty, Overwatch, Diablo, and Warcraft franchises, at a time when video game IP is proving highly valuable. The success of HBO’s The Last of Us adaptation is a testament to the power of well-known gaming IPs. Microsoft will have the opportunity to leverage these IPs to expand its gaming business and create new revenue streams.
Cloud Streaming Rights
As part of the agreement, Microsoft will transfer the cloud streaming rights for all current and new Activision Blizzard games to Ubisoft Entertainment, a rival game publisher. This arrangement will prevent Microsoft from releasing Activision games exclusively on its own streaming service. This move is seen as a way to prevent Microsoft from dominating the cloud gaming market.
Impact on Xbox and PlayStation
The acquisition is expected to have a significant impact on the gaming industry, particularly on the console market. Microsoft’s purchase of Activision Blizzard will give Xbox a major boost, allowing it to compete more effectively with PlayStation. Xbox will have access to Activision’s popular franchises, including Call of Duty, which will help to increase its market share. On the other hand, PlayStation will likely face increased competition from Xbox, which will make it harder for Sony to maintain its market lead.
Job Security and Layoffs
As with any major acquisition, job security and layoffs are always a concern. Activision Blizzard has not announced any layoffs or restructuring plans, but it is expected that some positions may be eliminated as the company integrates with Microsoft. Employees of Activision Blizzard can expect some changes, but it is too early to say what exactly those changes will be.
New Opportunities and Collaborations
The acquisition presents new opportunities for collaboration between Microsoft and Activision Blizzard. The two companies can work together to develop new games, expand existing franchises, and create new revenue streams. This collaboration can also lead to the creation of new studios and development teams, which can help to drive innovation and growth in the gaming industry.
Timeline for the Acquisition
The acquisition is expected to close in the coming weeks, with October 13th being the rumored closing date. Once the deal is complete, Microsoft will have full control over Activision Blizzard, allowing it to make changes to the company’s strategy and operations.
Key Points to Take Away
Here are the key points to take away from the Microsoft-Activision Blizzard acquisition:
- Microsoft gains access to valuable IPs such as Call of Duty, Overwatch, and Warcraft
- Cloud streaming rights will be transferred to Ubisoft Entertainment
- Xbox will gain a significant boost from the acquisition, allowing it to compete more effectively with PlayStation
- Job security and layoffs are a concern, but no announcements have been made
- The acquisition presents new opportunities for collaboration and innovation in the gaming industry
- The deal is expected to close in the coming weeks, with October 13th being the rumored closing date
In conclusion, the acquisition of Activision Blizzard by Microsoft is a significant event in the gaming industry, with far-reaching implications for the company and its beloved franchises. As the deal is expected to close soon, gamers and investors alike are eagerly waiting to see what the future holds for the company and its iconic IPs.