A whirlwind of news has followed Microsoft’s behemoth acquisition announcement of Activision Blizzard, one priced at nearly $70 billion USD. It’s a staggering deal, and Microsoft will bring in a long list of triple-A franchises, as well as a company bathed in workplace concerns. Activision Blizzard has broiled in controversy in the past six months, with claims of sexual misconduct and frat boy culture run rampant. Many have called out the company due to the shameful issues, and stockholders have repeatedly encouraged CEO Bobby Kotick to step down. Kotick didn’t seem eager to budge. But according to The Wall Street Journal, Kotick will reportedly leave Activision Blizzard once the acquisition is complete.
This is, however, not what Microsoft communicated in a press release on Tuesday morning. According to a press release: “Bobby Kotick will continue to serve as CEO of Activision Blizzard, and he and his team will maintain their focus on driving efforts to further strengthen the company’s culture and accelerate business growth,” reads the release. “Once the deal closes, the Activision Blizzard business will report to Phil Spencer, CEO, Microsoft Gaming.”
Regardless, sources tell The Wall Street Journal that Kotick will leave Activision Blizzard when the deal is finalized. The timeline for its closure is the fiscal year 2023, which puts it somewhere between July 2022 and June 2023.
A change of tune
In the eyes of profit, Microsoft’s acquisition of Activision Blizzard is a sharp move, but does little to help with the troubling workplace culture that has been prevalent within the company. Labor organizers will continue to fight against the hostile work environment. Microsoft is aware of this lack of company culture, regardless of the language this morning. In a company investor call today, Microsoft is cognizant of the pressure behind the needed changes.
“This is hard work,” said Satya Nadella, Microsoft CEO. “It requires consistency, commitment and leadership that not only talks the talk, but walks the walk. That’s why we believe it’s critical for the Activision Blizzard to drive forward on its renewed cultural commitments. We are supportive of the goal and the work Activision Blizzard is doing, and we also recognize that after close, we will have significant work to do in order to continue to build a culture where everyone can do their best work.”
