Microsoft to buy Call of Duty gaming firm Activision Blizzard in £50bn deal

18 January 2022, 15:41 | Updated: 18 January 2022, 16:48

Microsoft is buying gaming company Activision Blizzard in a £50bn deal, gaining access to blockbuster games like Call Of Duty and Candy Crush.

The all-cash deal will let Microsoft accelerate mobile gaming and provide building blocks for the metaverse, or a virtual environment.

The announcement on Tuesday arrived with Activision still in turmoil over allegations of misconduct and unequal pay.

Activision chief executive Bobby Kotick will retain his role, and he and his team will maintain their focus on driving efforts to strengthen the company's culture and accelerate business growth.

The deal will make Microsoft the world’s third-largest gaming company by revenue, behind Tencent and Sony.

Satya Nadella, chairman and CEO of Microsoft, said: "Gaming is the most dynamic and exciting category in entertainment across all platforms today and will play a key role in the development of metaverse platforms.

“We’re investing deeply in world-class content, community and the cloud to usher in a new era of gaming that puts players and creators first and makes gaming safe, inclusive and accessible to all.”

Once the deal is finalised, Microsoft will have 30 internal game development studios, along with additional publishing and esports production capabilities, the company said.