BAFL 45.26 Increased By ▲ 0.21 (0.47%)
BIPL 20.08 Decreased By ▼ -0.43 (-2.1%)
BOP 5.42 Decreased By ▼ -0.22 (-3.9%)
CNERGY 4.54 Decreased By ▼ -0.01 (-0.22%)
DFML 15.65 Decreased By ▼ -0.05 (-0.32%)
DGKC 73.20 Increased By ▲ 1.99 (2.79%)
FABL 27.33 Decreased By ▼ -0.07 (-0.26%)
FCCL 17.54 Increased By ▲ 0.39 (2.27%)
FFL 9.05 Increased By ▲ 0.50 (5.85%)
GGL 12.60 Decreased By ▼ -0.07 (-0.55%)
HBL 111.67 Decreased By ▼ -1.03 (-0.91%)
HUBC 122.28 Increased By ▲ 3.17 (2.66%)
HUMNL 7.24 Decreased By ▼ -0.36 (-4.74%)
KEL 3.26 Decreased By ▼ -0.01 (-0.31%)
LOTCHEM 27.70 Decreased By ▼ -0.15 (-0.54%)
MLCF 39.55 Increased By ▲ 0.47 (1.2%)
OGDC 108.80 Increased By ▲ 0.49 (0.45%)
PAEL 17.74 Decreased By ▼ -0.01 (-0.06%)
PIBTL 5.40 Decreased By ▼ -0.16 (-2.88%)
PIOC 107.40 Increased By ▲ 1.40 (1.32%)
PPL 91.77 Decreased By ▼ -0.73 (-0.79%)
PRL 24.95 Decreased By ▼ -0.39 (-1.54%)
SILK 1.06 Decreased By ▼ -0.01 (-0.93%)
SNGP 63.04 Decreased By ▼ -0.68 (-1.07%)
SSGC 11.89 Decreased By ▼ -0.11 (-0.92%)
TELE 8.15 Decreased By ▼ -0.31 (-3.66%)
TPLP 13.16 Decreased By ▼ -0.18 (-1.35%)
TRG 81.38 Decreased By ▼ -4.02 (-4.71%)
UNITY 25.85 Decreased By ▼ -0.11 (-0.42%)
WTL 1.51 Decreased By ▼ -0.03 (-1.95%)
BR100 6,181 Decreased By -4.8 (-0.08%)
BR30 21,539 Increased By 79.8 (0.37%)
KSE100 60,531 Increased By 29.3 (0.05%)
KSE30 20,188 Increased By 13 (0.06%)

SAN FRANCISCO: Microsoft on Tuesday unveiled its big-ticket plans to buy US video game powerhouse Activision Blizzard, a record-smashing acquisition in the gaming sector.

The merger, which is expected to be finalized next year, would beef up Microsoft's muscle in the booming game market while playing to its strengths in software and cloud computing. Here are key things to know:

Video game titans

Merging with Activision will make Microsoft the third-largest gaming company by revenue, behind Tencent and Sony, according to analysts.

China-based Tencent is a huge player in the Asia market and has been investing in game studios outside its home country.

Tencent owns Riot Games, maker of battle royale hit "League of Legends," and has stakes in French game star Ubisoft as well as Activision itself.

Japanese consumer electronics colossus Sony has been increasingly relying on its PlayStation consoles and games for revenue -- as Sony studios crank out titles to play on its hardware.

Microsoft, meanwhile, has been adding to its stable of game studios as it invests in Xbox consoles as well as the trend of games being streamed directly from the cloud.

"To borrow from the company's own jargon, Microsoft's goal is to enable people to play games anytime, anywhere and with anyone," Baird Equity Research analyst Colin Sebastian said in a note to investors.

Molding the 'metaverse'

The hot buzz of a future in which people live, work and play in an immersive virtual realm called the "metaverse" is seen as a natural evolution of video games.

Gaming platforms Roblox, Minecraft and Fortnite have created universes where playing is just one dimension among several.

Microsoft says it observed destructive malware in systems belonging to several Ukraine govt agencies

"There's a whole generation that are growing up where their social connection to the world is through video games," Microsoft games unit chief Phil Spencer told The New York Times, referring to young people who meet online after school.

For Microsoft, investing in games therefore allows it to position itself on the future of the internet in general.

"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," argued Microsoft boss Satya Nadella in his statement on the deal.

Taking on sexism

A merger would lay Activision's troubles regarding the treatment of women in the workplace at the feet of Microsoft's game chief Spencer.

Activision has faced official scrutiny, lawsuits, and employee outrage over accusations that women employees are harassed and discriminated against at the overwhelmingly male company.

Spencer said in a Times interview that the company has learned from its own mistakes, including having dancing girls at a game developers conference six years ago.

Content remains king

Content is still king of the video game world.

An acquisition of Activision could help Microsoft shore up weaknesses when it comes to mobile games and esports.

"Following the acquisition, Microsoft will gain a dominant position in esports, a growing theme where it has struggled to make a mark in the past," said GlobalData principal analyst Rupantar Guha.

"Additionally, Activision is a mobile gaming leader with plans to launch more mobile titles in the future."

Activision's array of games includes "World of Warcraft" as well as color-matching mobile hit "Candy Crush" and esports-oriented "Overwatch."

Comments

Comments are closed.

Microsoft-Activision deal: Key things to know

COP28 opens with ‘historic’ launch of loss and damage fund

Blinken says truce between Israel-Hamas is producing results

Long wait for freedom: Afghan refugees in limbo in Pakistan

Inter-bank: rupee registered 3rd successive gain against US dollar

Open market: rupee strengthens against US dollar

Pakistan’s central bank reserves increase $77mn, now stand at $7.26bn

PM Kakar calls for utilizing Loss & Damage Fund on merit

Oil prices fall amid skepticism on OPEC+ supply cuts

Pakistan cannot develop without development of Balochistan: Zardari

KSE-100 stays flat amid profit-taking