Phil Spencer, announcing Microsoft’s intention to buy Activision for $68.7 billion:
Until this transaction closes, Activision Blizzard and Microsoft
Gaming will continue to operate independently. Once the deal is
complete, the Activision Blizzard business will report to me as
CEO, Microsoft Gaming.
Upon close, we will offer as many Activision Blizzard games as we
can within Xbox Game Pass and PC Game Pass, both new titles and
games from Activision Blizzard’s incredible catalog. We also
announced today that Game Pass now has more than 25 million
subscribers. As always, we look forward to continuing to add more
value and more great games to Game Pass.
Game Pass subscriptions cost between $10–15 per month. Let’s just call that about $150/year per subscriber. That’s just under $4 billion per year. Assume that the Game Pass subscriber base will keep growing, and $69 billion for Activision doesn’t seem absurd as a long-term investment. And that’s just counting Game Pass subscription revenue, not traditional game sales.
★ Tuesday, 18 January 2022