Five reasons Microsoft is making Activision Blizzard its biggest deal ever


Nadella wants his gaming empire to be big enough that gamers will come to it directly, bypassing Apple Inc’s App Store. — Reuters

Microsoft Corp is buying Activision Blizzard Inc in a US$68.7bil (RM287.40bil) all-cash acquisition, uniting two of the biggest forces in video games. It’s the software maker’s biggest deal ever, almost three times as large as the 2016 purchase of LinkedIn. Here are five key reasons why it happened.

Size: The transaction, if it can get regulatory approval, will create the world’s No 3 global gaming company, catapulting Microsoft to just behind China’s Tencent Holdings Ltd, the publisher of League Of Legends, and game console rival Sony Corp, maker of the PlayStation. Activision couldn’t compete in the new world of gaming on its own, chief executive officer Bobby Kotick said in an interview.

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