Does Activision Still Own Blizzard? A Deep Dive into the Gaming Giant’s Ownership
Fast answer first. Then use the tabs or video for more detail.
- Watch the video explanation below for a faster overview.
- Game mechanics may change with updates or patches.
- Use this block to get the short answer without scrolling the whole page.
- Read the FAQ section if the article has one.
- Use the table of contents to jump straight to the detailed section you need.
- Watch the video first, then skim the article for specifics.
No, Activision does not currently own Blizzard. While they were once part of the same entity, Activision Blizzard, Inc., the landscape has shifted dramatically. Following a monumental acquisition, Microsoft now owns both Activision and Blizzard as of October 13, 2023. This means that the two legendary game development studios, along with other subsidiaries, now operate under the Microsoft umbrella, marking a significant turning point in the gaming industry. The complex relationship between these companies and their eventual acquisition is a fascinating story that has reshaped the future of gaming.
The Evolution of Activision and Blizzard
To fully grasp the current ownership structure, it’s essential to look back at the history of these gaming titans. Activision began as an independent game developer, pioneering the home console gaming scene with titles for the Atari 2600. Over the years, it expanded its portfolio through acquisitions, becoming a major player in the industry.
Blizzard Entertainment, on the other hand, carved its niche by creating some of the most beloved and enduring PC gaming franchises, like Warcraft, Diablo, and StarCraft. Their dedication to quality and their ability to build deeply engaging worlds garnered them a massive and loyal fan base.
The Merger That Created Activision Blizzard
The game-changing event that brought these two companies together was the 2008 merger between Activision and Blizzard Entertainment, creating Activision Blizzard. This merger resulted in one of the world’s largest video game companies. The combined entity could leverage the strengths of both: Activision’s prowess in console games and marketing, and Blizzard’s strength in creating epic PC franchises.
The Acquisition by Microsoft
Despite the success of Activision Blizzard, the company was acquired by Microsoft in a historic deal that closed on October 13, 2023. This acquisition, valued at approximately $68.7 billion, became one of the most significant events in the history of the video game industry. The deal faced significant regulatory scrutiny due to antitrust concerns, particularly about the potential impact on competition in the console market.
What Microsoft’s Acquisition Means for the Future
The acquisition has vast implications for the future of both studios. Microsoft gains access to hugely popular franchises such as Call of Duty, World of Warcraft, and Diablo, which can bolster their Xbox ecosystem and Game Pass service. The move is also expected to accelerate Microsoft’s push into mobile gaming and cloud gaming.
For players, it’s a time of change and anticipation. The impact on game development, release schedules, and how these games are accessed will undoubtedly evolve in the coming years. While some titles may appear on more platforms, potentially even Steam, some may also become part of the Xbox ecosystem.
Frequently Asked Questions (FAQs)
Here are some of the most frequently asked questions regarding the ownership changes and what they mean for players and the gaming industry:
1. What Business Units Did Activision Blizzard Have Before the Acquisition?
Prior to the Microsoft acquisition, Activision Blizzard included five main business units: Activision Publishing, Blizzard Entertainment, King (known for Candy Crush), Major League Gaming, and Activision Blizzard Studios.
2. What Exactly Did Microsoft Buy?
Microsoft acquired the entire Activision Blizzard, Inc. This includes all of its subsidiaries and intellectual properties, effectively bringing all of the previously mentioned business units under the Microsoft umbrella.
3. Did Microsoft Buy Just Activision or Just Blizzard?
Microsoft’s acquisition encompassed the entire entity of Activision Blizzard, not just one of the individual studios. Both Activision and Blizzard, along with the other units, are now part of Microsoft.
4. What Does the Acquisition Mean for Games Like World of Warcraft?
While the specifics are still unfolding, World of Warcraft is likely to continue as a major part of the gaming ecosystem, potentially becoming more accessible through the Xbox client. There’s also speculation that like Overwatch 2 and Diablo 4, it might move to platforms like Steam.
5. How Much Did Microsoft Pay for Activision Blizzard?
Microsoft paid roughly $68.7 billion (USD) to acquire Activision Blizzard, making it one of the biggest acquisitions in the tech world. The deal was adjusted to approximately $69 billion after some fluctuations.
6. Why Did Regulators Have Concerns About the Acquisition?
Regulators, especially in the UK and US, were concerned about potential anti-competitive behavior resulting from the acquisition. Their major fear was that Microsoft might make Activision Blizzard’s popular titles, such as Call of Duty, exclusive to the Xbox console ecosystem, potentially harming its rivals like Sony PlayStation and Nintendo.
7. What Happens to My Favorite Activision and Blizzard Games Now?
Your favorite games, like Call of Duty, World of Warcraft, and Diablo, will continue to exist under Microsoft’s ownership. The precise effects will vary, but players can likely expect continued updates, expansions, and the possibility of these games coming to more platforms.
8. Will Activision Blizzard Games Become Xbox Exclusives?
While some games might become Xbox exclusives as part of Microsoft’s strategy, it is not yet clear if all titles will exclusively be on the Xbox platform. Microsoft may aim to grow its Game Pass service, and some of these titles may indeed be exclusively available via that route.
9. Who is the Current CEO of Activision Blizzard?
While Bobby Kotick was the CEO of Activision Blizzard before the acquisition, his role post-acquisition is uncertain. It is likely that his role within the Microsoft structure is changing, if not ceasing altogether. It is expected that management structures and personnel will be integrated into Microsoft gradually.
10. Is Blizzard Worth More Than Before?
Activision Blizzard’s net worth as of October 10, 2023, was approximately $74.23 billion. Microsoft acquired the company for around $69 billion. While the standalone valuation might change, being integrated into the Microsoft ecosystem likely increases its overall value within the context of the broader tech giant.
11. Will World of Warcraft Still Require a Subscription?
World of Warcraft will likely still require a subscription to access higher level content. The game is free to play up to level 20, and this structure is expected to remain consistent under Microsoft ownership.
12. Does Blizzard Delete Old WoW Characters?
Blizzard does not generally delete old inactive characters in World of Warcraft. They might rename characters if there is a request from another player to use that name, but the base character data will remain.
13. Which Game from Activision Blizzard Was the Most Profitable?
While several titles perform exceptionally well, Call of Duty and Candy Crush consistently lead Activision Blizzard’s sales revenue. This is expected to continue to be a strength for Microsoft under their ownership.
14. What is the Future of Activision Blizzard as a Company?
As a subsidiary of Microsoft, Activision Blizzard no longer operates as an independent entity. Its games and employees are now part of the larger Microsoft gaming division. It will continue to operate but with a different command structure.
15. What Was the Biggest Hurdle in the Acquisition?
The biggest hurdle was overcoming regulatory concerns from antitrust authorities, particularly in the UK, who initially sought to block the deal. Eventually, these concerns were addressed, and the acquisition was given the green light.
Conclusion
The acquisition of Activision Blizzard by Microsoft marks a new era for the gaming industry. While Activision no longer owns Blizzard, both entities now operate as part of Microsoft. This acquisition will undoubtedly shape the landscape of gaming for years to come, offering new opportunities for players and a change in business models. As we move forward, it is vital to track how these companies and their iconic franchises develop under Microsoft’s ownership.