Microsoft is buying a video game company for an "unbelievable" amount...and money
Microsoft announced Tuesday that it will acquire Call of Duty game maker Activision Blizzard for $68.7 billion in cash in what would be the biggest deal in the gaming sector, making the Xbox owner the third-largest player. Company by global income.
Microsoft's offer of $95 per share was a 45 percent premium over Activity Blizzard's closing Friday, and the company's stock was trading at about $89.55 before official trading.
“Games are the most dynamic and exciting category of entertainment across all platforms today, and will play an important role in the evolution of the Metaverse platforms,” said Satya Nadella, CEO of Microsoft.
The demand for video games has increased during the coronavirus pandemic as consumers have been forced to play more entertaining games for themselves during the lockdown and lockdown measures.
Activision Blizzard's game library, which includes Call of Duty and Overwatch, gives Xbox, Microsoft's gaming platform, an edge over Sony PlayStation, which has been blessed with a flood of exclusives for years.