Activision Blizzard CEO Urges UK to Approve Microsoft Acquisition

In a recent television appearance, Activision Blizzard CEO Bobby Kotick expressed his belief that the UK should support Microsoft's proposed acquisition of his company. Discussing the potential opposition from the UK's Competition and Markets Authority, Kotick emphasized the importance of embracing the deal to foster job creation and technological advancement. He cautioned that rejecting the acquisition could have severe consequences for the UK's economy, likening it to a transformation into 'Death Valley' rather than achieving its goal of becoming the 'Silicon Valley of Europe.' Kotick also criticized regulators, stating that they lack a deep understanding of the gaming industry, which is predominantly driven by mobile and free-to-play models. He highlighted the dominance of Japanese and Chinese companies in the market, such as Tencent and ByteDance, and noted the challenges Activision Blizzard faces in entering protected markets like Japan and China. The conversation also touched on Activision Blizzard's recent financial results, which saw record performance in Q4 thanks to the success of Overwatch 2 and Call of Duty: Modern Warfare 2. When asked about the normalization of player behavior and spending after the pandemic, Kotick advised caution, citing uncertainty about the industry's future amidst changing macroeconomic conditions.