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Earlier today, Microsoft announced its intended acquisition of Activision Blizzard for a total of almost $70 billion, making it the biggest acquisition in gaming history if the sale goes through. The surprise announcement comes after months of controversy for Activision Blizzard, which began with a lawsuit from the state of California over the company's alleged culture of harassment.

The official announcement of the acquisition said that "Bobby Kotick will continue to serve as CEO of Activision Blizzard," though insider reports have suggested Kotick will leave the company once the deal goes through.

For now, Kotick is still the head of Activision Blizzard, and has sent out a message to all staff about the upcoming acquisition, as reported by The Verge:

"Team,

Today is an incredibly exciting day. As we continue our journey to connect and engage the world through epic entertainment, we will eventually do so as part of Microsoft. I am certain that our incredible talent and extraordinary games combined with our shared commitment to the very best workplace will enable us to grow in an increasingly more competitive race for leadership as gaming through the metaverse evolves.

How we got here and where we’re going

When you reflect on what we’ve built together, we have so much to be proud of. For the last 31 years, we’ve continuously shaped gaming through our commitment to deliver joy, fun, and the thrill of accomplishment.

We’ve transformed games into social experiences and enabled players to find purpose and meaning through the most engaging form of entertainment – our games. By doing so, we’ve created and entertained communities of hundreds of millions of players.

Connecting these communities together is the next step. Facebook, Google, Tencent, NetEase, Amazon, Apple, Sony, Disney – and many more – have ambitions for their own gaming and metaverse initiatives. Established and emerging competitors see opportunity for virtual worlds filled with professionally produced content, user generated content and rich social connections.

Our talent and our games are important components of the construction of a rich metaverse. We have always attracted the very best game makers and built the very best games, seizing opportunity with passion, inspiration, focus, and determination.

A partnership to define the future

As investments in cloud computing, AI and machine learning, data analytics, and user interface and experience capabilities are becoming more competitive, we believe this partnership will better enable our ambitions.

In considering possible partners, all roads ultimately lead to Microsoft. Like us, they have been making games for a long time. Microsoft has already distributed games to hundreds of millions of the world’s computers and computing devices and has technologies and innovation that will support the next generation of games.

Microsoft also will support our journey to further strengthen our culture. Satya Nadella, Microsoft’s CEO, has been a passionate advocate for caring as the currency of leadership. Inspiring people through empathy is a powerful motivator, and one we embrace as we renew our resolve – and in the work we are now doing – to set a new standard for a welcoming and inclusive workplace culture.

Importantly, Microsoft wants you – your talent, your creativity, and your dedication to each other. Activision Blizzard’s success throughout the years can be directly attributed to each of you. Microsoft recognizes the commitment to excellence and creative independence that sets us apart, and we anticipate minimal changes for our workforce following the close of the transaction. Microsoft’s diverse operations will give us access to valuable expertise, technology, and tools and provide even greater opportunities for learning and development.

No organization’s culture, including ours, is without need for improvement, and thanks to your input, we are making strides in improving ours. My commitment is to continue evolving our culture so that come closing, Microsoft is acquiring an exemplary workplace.

What’s next

Transactions like these can take a long time to complete. Until we receive all the necessary regulatory approvals and other customary closing conditions are satisfied, which we expect to be sometime in Microsoft’s fiscal 2023 year ending June 30, 2023, we will continue to operate completely autonomously. I will continue as our CEO with the same passion and enthusiasm I had when I began this amazing journey in 1991.

Of course, this announcement will give rise to so many questions. We will host numerous forums and events to make certain we address your concerns.

I am incredibly proud of this company, you, and the work we have done together. Now it’s on to our next chapter and the endless possibilities this transaction represents for us. I couldn’t be more appreciative of your efforts, focus, and the dedication to connecting the world through joy and fun.

With gratitude,

Bobby"

In November last year, hundreds of Activision Blizzard staff signed a petition calling for Kotick to be removed as CEO, following reports that he helped cover up instances of harassment and misconduct at the company.

The Microsoft acquisition isn't set in stone, with regulatory hurdles still to pass, including approval from Activision Blizzard shareholders. The deal isn't expected to be finalised until fiscal year 2023, a period that spans from July 2022 to June 2023.

Learn how Activision Blizzard and Microsoft leadership broke the huge news to their staff members with words from Bobby Kotick, Phil Spencer, and Satya Nadella.

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