What does Microsoft’s Activision Blizzard acquisition mean for its games?

In case you’ve missed it, Microsoft is spending $68.7 billion in order to acquire Activision Blizzard, this acquisition will make Microsoft the 3rd largest gaming company by revenue with Sony and Tencent, ahead of it. The studios under these companies’ banners employ almost 10,000 people worldwide and produce titles such as Call of Duty, World of Warcraft, Diablo, Overwatch, Tony Hawk’s Pro Skater, Crash Bandicoot, and quite a few more.

When does Activision Blizzard come under the Microsoft banner?

If all goes to plan then 30th June 2023 onwards is the most likely date. There’s still a regulatory review, Activision Blizzard shareholders have to sign off on the deal, and there are closing conditions that must be met. So whilst it’s very likely it’ll go ahead there’s of course still the slim possibility that it may not.

When should we start seeing Activision Blizzard games on Game Pass?

If all goes to plan with the deal we will start seeing Activision Blizzard games added to Xbox Game Pass (PC & Console) from July 2023 onwards.

Upon close, we will offer as many Activision Blizzard games as we can within Xbox Game Pass and PC Game Pass, both new titles and games from Activision Blizzard’s incredible catalog.

Phill Spencer (CEO Microsoft Gaming), via Xbox Wire

Which Activision Blizzard games will be coming to game pass?

Given enough time I think most Activision Blizzard titles will be available on Game Pass (see quote above), historically Microsoft has published as many games as it can with many day-one releases on game pass. I see no reason why this would change for Activision Blizzard. I expect once the deal closes they’ll work hard to get these newly acquired properties up on Game Pass. The only factors which I can see that might preclude some games from appearing would be pre-existing deals and incompatibility with the launcher. Considering that Microsoft already integrates with multiple 3rd party clients on PC I think the latter is unlikely.

Will games like Call of Duty, Crash Bandicoot, and Tony Hawk’s Pro Skater become Xbox/PC exclusives?

Microsoft has committed to honoring existing agreements and will be making both Call of Duty and other popular Activision Blizzard titles available on PlayStation beyond the existing agreements and into the future.

To be clear, Microsoft will continue to make Call of Duty and other popular Activision Blizzard titles available on PlayStation through the term of any existing agreement with Activision. And we have committed to Sony that we will also make them available on PlayStation beyond the existing agreement and into the future so that Sony fans can continue to enjoy the games they love.

Brad Smith (President & Vice Chair Microsoft) via Microsoft Blog

What about the very public cultural issues that have plagued Activision Blizzard?

Only time will tell. I truly hope for the sake of those individuals that have suffered that Microsoft can help turn things around. This acquisition puts Microsoft in a very uncomfortable position as whilst Bobby Kotick has been at the helm and seemingly aware of these issues, he’s also a seasoned veteran of the gaming industry and has been a driving factor of what makes the company what it is today. I think at the least Microsoft will be keeping a very close eye on things over at Activision Blizzard as serious action is needed to ensure a safe and happy workplace, I think it’s reasonable to expect that he’ll remain CEO at least until the deal closes, after that only Microsoft, Activision Blizzard, and their lawyers know. Whatever the outcome is between the two I only wish that they can work to provide a happy and safe workplace for all.

Is Microsoft Gaming now a monopoly?

I’ve seen this question/claim pop up far more than it should. No, it is not a monopoly. Yes, it consolidates two large players in the gaming industry but if it goes ahead, they’re still only the third-largest by revenue behind Sony and Tencent. They’re certainly a gaming giant, but certainly not a monopoly, you’d not argue that Sony or Tencent is a monopoly so Microsoft certainly isn’t either in the gaming industry. A monopoly is when a company has so much control that it is the only entity in control of a market, one could perhaps argue that it’s an oligopoly however the meteoric success of some Indy developers and the various open markets that are on PC (think how many game clients we have available) would even argue against that as even small companies can succeed.

Final Words

High-profile acquisitions like this can stoke both fear and excitement. Consolidation can be a blessing or a curse. I think when it comes to Microsoft given that they’ve been largely making a positive impact on the gaming landscape for both PC and Xbox. I’m leaning towards this being a likely blessing as the value that Game Pass has added for gamers (even if it’s problematic at times) is truly outstanding, and they’ve done some amazing work with other big-name properties (Minecraft is a great example). I genuinely didn’t see how Activision Blizzard could redeem itself with its recent troubles. This acquisition may have saved it from going the way of the dinosaurs, but Microsoft and Bobby Kotick certainly still have their work cut out for them, my number one concern however with all of this is for the employees at the studies impacted by these cultural issues which have recently come into the public spotlight.