Activision Blizzard

[Sweey]

Activision-Blizzard merger gets EU nod

Extremely happy with this news.

Today, Activision and Vivendi Games cleared yet one more hurdle lying in the path of their $18.9 billion merger. The European Commission, which is part of the European Union, has approved the deal under its antitrust guidelines, concluding that an Activision Vivendi mash-up "would not significantly impede effective competition in the European Economic Area or any substantial part of it."

According to the EC's report, the merger's reach was measured on both a horizontal and vertical scale. In terms of horizontal competition, the EC deemed the Vivendi-Activision union would "continue to face several strong, effective competitors, such as Electronic Arts, and the game console manufacturers, such as Sony, Nintendo and Microsoft."

Addressing vertical synergies, the EC noted that Vivendi's ownership of Universal Music Group would give Activision an advantage in licensing music but concluded that other publishers would continue to have access to a "sufficiently large portfolio of music rights from alternative suppliers." The EC also noted that the merger would not impact wholesale distribution competition of PC games in the UK.

In February, soon-to-be Activision Blizzard CEO Bobby Kotick said that the merger was progressing as anticipated and was expected to conclude by June. To secure its 52 percent controlling stake in the newly formed conglomerate, Vivendi has undertaken several financing initiatives, including securing loans to the tune of €4 billion (about $6.3 billion) by January as well as banking an additional $1.4 billion earlier this month from the issuance of corporate bonds to various banking institutions.

http://uk.gamespot.com/pc/strategy/...vert&om_clk=newlyadded&tag=newlyadded;title;1

 

[Barry]

You've got some Activision stock in your portfolio or something?

Seriously, it could be a a good counterweight against the constant stream of mediocrity and sequels (those terms have become interchangeable) that is EA.

 

[Sweey]

Death to EA.

An article on GameSpot today:

You can't make the world's largest third-party omelette without breaking a few eggs. In the wake of the merger with Vivendi Games, Activision Publishing today announced that it is streamlining the subsumed company's operations.

As part of the drive for increased efficiency, Activision will "realign" staff at Radical Entertainment (Prototype, Crash of the Titans) and High Moon Studios (The Bourne Conspiracy, Darkwatch). As for their sister subsidiaries Massive Entertainment (World in Conflict, Ground Control) and Swordfish Studios (50 Cent: Blood on the Sand, Cold Winter), Activision is "exploring options," including the sale or closing of the outfits.

The future is similarly uncertain for Sierra Online (Assault Heroes 2) and Vivendi Games Mobile (Prison Break, Cake Mania 2). The publisher deemed them "non-strategic business units" and said it is exploring the possibility of closing or selling them as well.

"We are focused on improving efficiency across the combined organization and are concentrating on businesses where we have leadership positions that are aligned with Activision Publishing's long-term corporate objectives," Activision Publishing CEO Mike Griffith said in a statement.

As for the Vivendi properties that are definitely sticking around, Activision said it is adding Spyro the Dragon, Crash Bandicoot, and Ice Age to its stable of popular brands. It will also bring in two new intellectual properties Vivendi had been working on: Radical Games' Prototype, and one as-yet unannounced title.

"We have conducted a thorough review of Vivendi Games' brand portfolio and are retaining those franchises and titles that are a strong fit with our long-term product strategy," Griffith said. "We are reviewing our options regarding those titles that we will not be publishing."

The press release makes no mention of other anticipated Vivendi titles like Double Fine Productions' Brutal Legend or Terminal Reality's Ghostbusters. Activision representatives did not immediately respond to GameSpot's requests for comment on the status of these and other Vivendi projects.

Back in March, Variety reported that Vivendi developers were having to re-pitch their games to the incoming Activision management. At the time, Double Fine head Tim Schafer said he hadn't been asked to go anywhere or pitch anything special.

[UPDATE]: An Activision Publishing representative confirmed for GameSpot that it will not be publishing Vivendi titles beyond the scope of the five announced franchises. That leaves a number of high-profile projects in limbo, including Brutal Legend, Ghostbusters, Wet, Chronicles of Riddick: Assault on Dark Athena, World at Conflict: Soviet Assault, 50 Cent Blood on the Sand, Zombie Wranglers, Leisure Suit Larry: Box Office Bust, as well as several Xbox Live Arcade titles.