XBox (Games)

Microsoft Says Palworld Is the Biggest Ever Third-Party Game Pass Launch (engadget.com) 40

Palworld, a viral "Pokemon with guns" game, has become Microsoft's biggest third-party launch on Game Pass. According to developer Pocketpair, the game sold 12 million copies on Steam and seven million on Xbox since its January 19 launch. A million of the copies were sold in its first eight hours. Engadget reports: In addition to being the biggest third-party Game Pass launch ever, Palworld had the largest third-party day-one launch on Xbox Cloud Gaming (included with Game Pass Ultimate). The game's highest peak since launch was nearly three million daily active users on Xbox. Microsoft says it was the most-played game on Xbox platforms during that period.

Palworld uses Pokemon-esque characters and themes -- enough to catch the attention of Nintendo's lawyers. It has battles with monsters similar to those in the creature-collecting series, including the ability to capture them inside a sphere after winning. But Palworld also includes biting social commentary and incorporates themes you'd never see in Pokemon -- like labor exploitation. "Don't worry, there are no labor laws for Pals," a game FAQ reads. One of the title's trailers showed a player circling hard-at-work Pals with an assault rifle. "Creating a productive base like this is the secret to living a comfortable life in Palworld," the narration reads.

Microsoft

Microsoft's Gaming Revenue Is Up 49 Percent In Q2, Mostly Thanks To the Activision Deal (engadget.com) 10

For the first time, Microsoft's Q2 earnings report includes the impact of the company's $68.7 billion Activision Blizzard acquisition. "While Microsoft isn't breaking out specific numbers, it says that its overall gaming revenue increased by 49 percent, 44 points of which came from the 'net impact' of the Activision deal," reports Engadget. From the report: Microsoft's More Personal Computing division, which includes Xbox, Surface and Windows, was up 19 percent ($16.9 billion) since last year. The company says the Activision deal accounted for 15 points of that increase. It's a huge change for a division that's been severely impacted by dwindling PC sales (which affects Windows licenses and Surfaces) and struggling Xbox consoles. PC device revenues were down 9 percent for the quarter, while Xbox hardware sales were up 3 percent. Xbox content and services revenue is also up 61 percent since last year, 55 points of which comes from Activision. Overall, Microsoft reported revenues of $62 billion, up from $52.7 billion a year earlier. Microsoft's cloud division posted revenue growth of 28%, with its intelligent-cloud revenue up 20% to $25.9 billion. Meanwhile, its productivity and business-processes segment generated $19.2 billion.
Businesses

Tech Stocks Hit New Records as Tech Layoffs Rise Amid AI Hiring Sprees (cnbc.com) 61

An anonymous Slashdot reader shared this report from CNBC: The S&P 500 is trading at a record and the Nasdaq is at its highest in two years. Alphabet shares reached a new pinnacle on Thursday, as did Meta and Microsoft, which ran past $3 trillion in market cap.

Don't tell that to the bosses.

While Wall Street cheers on Silicon Valley, tech companies are downsizing at an accelerating clip. So far in January, some 23,670 workers have been laid off from 85 tech companies, according to the website Layoffs.fyi. That's the most since March, when almost 38,000 people in the industry were shown the exits. Activity picked up this week with SAP announcing job changes or layoffs for 8,000 employees and Microsoft cutting 1,900 positions in its gaming division. Additionally, high-valued fintech startup Brex laid off 20% of its staff and eBay slashed 1,000 jobs, or 9% of its full-time workforce... Earlier in the month, Google confirmed that it cut several hundred jobs across the company, and Amazon has eliminated hundreds of positions spanning its Prime Video, MGM Studios, Twitch and Audible divisions. Unity said it's cutting about 25% of its staff, and Discord, which offers a popular messaging service used by gamers, is shedding 17% of its workforce...

Investors lauded the cost-cutting measures that companies put in place last year in response to rising inflation, interest rates hikes, recession concerns and a brutal market downturn in 2022. Even with an improving economic outlook, the thriftiness continues. Layoffs peaked in January of last year, when 277 technology companies cut almost 90,000 jobs, as the tech industry was forced to reckon with the end of a more than decade-long bull market. Most of the rightsizing efforts took place in the first quarter of 2023, and the number of cuts proceeded to decline each month through September, before ticking up toward the end of the year.

One explanation for the January surge as companies budget for the year ahead: They've learned they can do more with less... Nigel Vaz, CEO of consulting firm Publicis Sapient, told CNBC that some companies are probably looking at the boon that Meta and Salesforce got after their hefty cost-cutting measures last year... At the large publicly traded companies, there's an "intense focus" on profitability, margins and cost cutting, said Tim Herbert, chief research officer at CompTIA, which tracks trends across the tech sector.

CNBC emphasizes that layoff numbers are much lower than last year, according to the CEO of the company that owns the tech-recruiting site Dice — and that the layoffs aren't limited to the tech industry. But the article also argues that "AI demand is so great that some tech companies are cutting headcount in parts of the business to invest more heavily in developing AI products." (SAP specifically said its restructuring aimed to boost "focus on key strategic growth areas, in particular Business AI.")

And elsewhere CNBC writes that "As tech firms prioritize investments into artificial intelligence and go on a hiring spree, other segments are likely to see layoffs continue into 2024, according to industry experts."
Microsoft

Microsoft Cuts 1,900 Activision Blizzard and Xbox Jobs (ign.com) 72

Microsoft is laying off 1,900 workers -- or around 8% of Microsoft Gaming's 22,000 employees. The majority of layoffs are at Activision Blizzard, though cuts will impact Xbox and ZeniMax employees, too. The memo from Microsoft Gaming chief Phil Spencer: It's been a little over three months since the Activision, Blizzard, and King teams joined Microsoft. As we move forward in 2024, the leadership of Microsoft Gaming and Activision Blizzard is committed to aligning on a strategy and an execution plan with a sustainable cost structure that will support the whole of our growing business. Together, we've set priorities, identified areas of overlap, and ensured that we're all aligned on the best opportunities for growth.

As part of this process, we have made the painful decision to reduce the size of our gaming workforce by approximately 1900 roles out of the 22,000 people on our team. The Gaming Leadership Team and I are committed to navigating this process as thoughtfully as possible. The people who are directly impacted by these reductions have all played an important part in the success of Activision Blizzard, ZeniMax and the Xbox teams, and they should be proud of everything they've accomplished here. We are grateful for all of the creativity, passion and dedication they have brought to our games, our players and our colleagues. We will provide our full support to those who are impacted during the transition, including severance benefits informed by local employment laws. Those whose roles will be impacted will be notified, and we ask that you please treat your departing colleagues with the respect and compassion that is consistent with our values.

Looking ahead, we'll continue to invest in areas that will grow our business and support our strategy of bringing more games to more players around the world. Although this is a difficult moment for our team, I'm as confident as ever in your ability to create and nurture the games, stories and worlds that bring players together.

XBox (Games)

Microsoft's Xbox Series S Toaster Goes on Sale 50

An anonymous reader shares a report: Both of Microsoft's current Xbox consoles now have kitchen appliance counterparts. The Xbox Series S toaster recently debuted, following up the Xbox Series X refrigerator. It's available for purchase from Walmart for $39.99. In place of its ability to connect to a TV and play games, it can toast bread or bagels, imprinting the Xbox logo onto its side with its internal heat coils. The Series S toaster has a slot long enough to fit two slices of bread side by side, which I suppose can be considered multiplayer support if the bread is for two people. As with most toasters, this one has different toast browning levels, a removeable crumb tray, a bread ejection function, and automatic shutoff.
Microsoft

Microsoft Announces More Xbox Leadership Changes As Activision's Bobby Kotick Departs (theverge.com) 7

Tom Warren and Ash Parrish report via The Verge: Activision Blizzard CEO Bobby Kotick is stepping down officially December 29th. Microsoft has not appointed a direct replacement and instead has rolled the suite of Activision Blizzard executives -- including Blizzard president Mike Ybarra, Activision publishing president Rob Kostich, and Activision Blizzard vice chair Thomas Tippl -- under Microsoft's game content and studios president Matt Booty. Kotick's departure comes just two months after some big Xbox leadership changes that saw Sarah Bond promoted to Xbox president, leading all Xbox platform and hardware work, and Matt Booty promoted to president of game content and studios, including overseeing Bethesda and ZeniMax studios. Now Booty is getting even more responsibilities with Bethesda, Activision Blizzard, and Xbox Game Studios all under his watch.

Microsoft is largely keeping the leadership team of Activision Blizzard in place, with some executive-level exceptions. Activision Blizzard chief communications officer Lulu Meservey will leave the company at the end of January. Humam Sakhnini (vice chairman, Blizzard and King) will also depart at the end of December. A number of Activision Blizzard executives will depart in March, too. Brian Bulatao (chief administrative officer), Julie Hodges (chief people officer), Armin Zerza (chief financial officer), and Grant Dixton (chief legal officer) are all reporting to their Microsoft Gaming equivalents. While Thomas Tippl (vice chairman, Activision Blizzard) is reporting to Matt Booty for now, he will depart Microsoft in March alongside other Activision Blizzard executives. "Thomas, Brian, Julie, Grant and Armin will continue to help us with the transition through March 2024," says Xbox chief Phil Spencer, in an internal memo obtained by The Verge.

Additionally, a memo from Matt Booty announced some of the changes taking place at ZeniMax and Bethesda, including that Jill Braff has been named the new head of those studios. Braff worked on the integration team when ZeniMax and Bethesda joined Xbox back in 2021 and will lead the studios' development teams. [Both memos can be read below The Verge's reporting.]

Sony

Sony's Video Game Plans Leaked By Ransomware Group (bloomberg.com) 22

Speaking of the 1.3 million stolen files of Sony division Insomniac Games that hackers have leaked, the data dump includes game roadmaps, budgets, and detailed information about Insomniac's upcoming Wolverine game, which a document says is slated for 2026. Bloomberg reports: According to the files, Sony plans to release several Marvel-inspired titles in the next decade, including Spider-Man 3, based on Venom and X-Men games. The files also reference a new Ratchet & Clank game apparently slated for 2029. Insomniac and Marvel's licensing commitment is as high as $621 million to develop and market the X-Men games by 2035, according to one document, which was one of many circulating on the internet. The documents also give us a peak into how Sony internally felt about Microsoft's acquisition of Blizzard. Eurogamer adds: Sony has privately described Microsoft's $68.7bn takeover of Activision Blizzard as a potential "leapfrog" moment for its long-term console rival to take the lead. Threats identified by Sony include Microsoft using Call of Duty to "disrupt and threaten console gaming and game subscription markets", with a potential "massive threat to PlayStation Plus." [...] "Activision provides incredible strategic value across live service games, scale in mobile and PC storefront (Battle.net)," Sony wrote, describing the various advantages Microsoft has now added to its portfolio with the deal freshly completed.
XBox (Games)

Microsoft Experiments With Ad Views For Access To Xbox Game Pass (windowscentral.com) 20

During a Wells Fargo summit last month, Microsoft Gaming CFO Tim Stuart suggested Xbox is seeking to bring Xbox Game Pass to competing platforms, such as PlayStation and Nintendo Switch. One of the scenarios for Xbox Game Pass expansion may include offering access in exchange for viewing advertisements. Windows Central reports: "For models like Africa, or India, Southeast Asia, maybe places that aren't console-first, you can say, 'hey, do you want to watch 30 seconds of an ad and then get two hours of game streaming?'," Stuart continued. "Africa is, you know, 50% of the population is 23 years old or younger with a growing disposable income base, all with cell phones and mobile devices, not a lot of high-end disposable income, generally-speaking. So we can go in with our own business models and say -- there's millions of gamers we would never have been able to address, and now we can go in with our business models."

Microsoft has previously surveyed Xbox users on the Xbox Insider Program and via other avenues about the possibility of offering Xbox Game Pass time in exchange for viewing advertisements. And recently, security researcher Title_OS shared some code snippets from the Xbox OS that described systems that would provide access to Xbox Game Pass via on an "Earned Time" basis, complete in 15-minute blocks.

XBox (Games)

Xbox Talking To Partners for Mobile Store, CEO Spencer Says (bloomberg.com) 4

Microsoft is talking to partners to help launch a mobile gaming store that will take on Apple and Google's dominant position in the business, according to Phil Spencer, who leads the company's Xbox video-game division. From a report: "It's an important part of our strategy and something we are actively working on today not only alone, but talking to other partners who'd also like to see more choice for how they can monetize on the phone," Spencer said in an interview in Sao Paulo during the CCXP comics and entertainment convention.

The executive declined to give a specific date for a launch of the online store, which earlier reports suggested could be next year. "I don't think this is multiple years away, I think this is sooner than that," he said. Microsoft earlier this year expanded its Game Pass subscription service for players on personal computers to 11 new Latin American countries, leading to a 7% increase in customers. Peru and Costa Rica are the standouts in terms of customer interest, accounting for almost half of new signups, Spencer said. Globally Brazil is the second-biggest market for the PC Game Pass. "In many ways Brazil leads a lot of the trends that we see globally," Spencer said.

XBox (Games)

Microsoft In Talks To Launch Mobile Gaming Store, Rivaling Apple (bnnbloomberg.ca) 39

According to Microsoft Gaming CEO Phil Spencer, the company is talking to partners to help launch a mobile gaming store that will take on Apple and Google. "It's an important part of our strategy and something we are actively working on today not only alone, but talking to other partners who'd also like to see more choice for how they can monetize on the phone," Spencer said in an interview in Sao Paulo during the CCXP comics and entertainment convention. From the report: The executive declined to give a specific date for a launch of the online store, which earlier reports suggested could be next year. "I don't think this is multiple years away, I think this is sooner than that,'' he said. [...] Microsoft's mobile store would also enter a challenging regulatory climate around smartphone-based digital marketplaces. Fortnite-maker Epic Games has sued both Apple and Alphabet's Google over their iOS and Android store practices, alleging they are unnecessarily restrictive and unfair. Apple doesn't allow competing stores on its iPhone and iPad platforms, and collects a 30% cut of sales for most purchases. Game makers have taken issue with the fees.

Epic lost its battle with Apple but in September asked the US Supreme Court to weigh in. Apple is also petitioning that court to reverse an order that would force the company to let developers steer customers to other payment methods. Epic is still in court fighting its case against Google, which does allow third-party app stores on its devices.The European Union's Digital Markets Act, which is just beginning to take effect, could force Apple to open up its app store ecosystem. Apple is challenging the regulation.

Microsoft may be able to use long-standing resentment against the market leaders to martial support for its store offering. Xbox's cloud gaming technology already lets users stream blockbuster games to mobile phones. "We've talked about choice, and today on your mobile phones, you don't have choice,'' Spencer said. "To make sure that Xbox is not only relevant today but for the next 10, 20 years, we're going to have to be strong across many screens."
Earlier this week, Xbox CFO Tim Stuart said during the Wells Fargo TMT Summit that Microsoft wants to make first-party games and Game Pass available on "every screen that can play games," including rival consoles. "It's a bit of a change of strategy. Not announcing anything broadly here, but our mission is to bring our first-party experiences [and] our subscription services to every screen that can play games," Stuart said. "That means smart TVs, that means mobile devices, that means what we would have thought of as competitors in the past like PlayStation and Nintendo."
Microsoft

Microsoft Wants Game Pass On PlayStation, Nintendo, And 'Every Screen' Possible 40

Microsoft wants to bring Xbox Game Pass to PlayStation and Nintendo. From a report: Xbox CFO Tim Stuart said during the Wells Fargo TMT Summit this week that the goal is to make first-party games and Game Pass available on "every screen that can play games," and this includes rival consoles. "It's a bit of a change of strategy. Not announcing anything broadly here, but our mission is to bring our first-party experiences [and] our subscription services to every screen that can play games," Stuart said. "That means smart TVs, that means mobile devices, that means what we would have thought of as competitors in the past like PlayStation and Nintendo."

Stuart said Game Pass is a "high margin" business for Microsoft, along with first-party games and advertising. These are all areas that Microsoft plans to expand into significantly in the time ahead, Stuart said. The executive added that buying Activision Blizzard helps Microsoft get there faster than it might have been able to on its own. For the advertising part specifically, the Candy Crush mobile game series from King -- which is now owned by Microsoft -- is deeply embedded with ads and microtransactions.
Facebook

Meta's Head of Augmented Reality Software Stepping Down (reuters.com) 8

According to Reuters, Meta's head of augmented reality software is stepping down from his role. From the report: VP of Engineering Don Box announced the end of his tenure at Meta internally this week, without elaborating on what he would do next, according to a source familiar with the matter. A Meta spokesperson confirmed Box would be leaving the company at the end of this week and said he was doing so for personal reasons. There would be no change in product roadmap as a result of his decision, she added.

The departure of Box, a veteran engineer with experience building major technology systems from their infancy, could be a setback to progress on the operating system, a key component of Meta's AR glasses project, the source told Reuters. Meta has been planning to deliver a first generation of its AR glasses by next year, although those are meant to be used only internally and by a select group of developers, the source said. It aims to ship its first AR glasses to consumers in 2027. The Meta spokesperson declined to address the roadmap or whether the OS that Box's team was building would be in the first generation AR glasses. [...]

Meta initially hired Box in 2021 to chart a path forward after the failure of its XROS project, which aimed to create a unified custom operating system for its virtual reality headsets, Ray-Ban Stories smart glasses and planned augmented reality glasses, the source said. Box broke up the 300-person XROS unit into dedicated teams for each device line early last year and personally took over the team focused on AR software, according to both the source and Box's LinkedIn profile. Prior to joining Meta, Box had worked at Microsoft since 2002. In his final role at Microsoft, he ran engineering for mixed reality, which involved developing software for the HoloLens2 headset and related AR/VR services. Box is known for having led the creation of the Xbox One operating system and later heading Microsoft's core operating system group, which works across all Windows products.

AI

Microsoft is Bringing AI Characters To Xbox (theverge.com) 24

Microsoft is partnering with Inworld AI to develop Xbox tools that will allow developers to create AI-powered characters, stories, and quests. From a report: The multiyear partnership will include an "AI design copilot" system that Xbox developers can use to create detailed scripts, dialogue trees, quest lines, and more. "At Xbox, we believe that with better tools, creators can make even more extraordinary games," explains Haiyan Zhang, general manager of gaming AI at Xbox. "This partnership will bring together: Inworld's expertise in working with generative AI models for character development, Microsoft's cutting-edge cloud-based AI solutions including Azure OpenAI Service, Microsoft Research's technical insights into the future of play, and Team Xbox's strengths in revolutionizing accessible and responsible creator tools for all developers." The multiplatform AI toolset will include the AI design copilot for scripts and dialogue, and an AI character engine that can be integrated into games and used to dynamically generate stories, quests, and dialogue.
XBox (Games)

Microsoft Reverses Decision, Lets Employees Keep Free 'Xbox Game Pass Ultimate' (theverge.com) 30

Microsoft has changed its mind, the Verge reported Friday, and now will continue giving a free Xbox Game Pass Ultimate to most of its 238,000 employees, according to an announcement from Xbox chief Phil Spencer.

Earlier reports had suggested that Microsoft was removing the free Xbox Game Pass Ultimate benefit — and some employees weren't happy about it.
Microsoft

Microsoft Reverses Decision, Employees Will Still Get a Free Xbox Game Pass Ultimate (theverge.com) 86

UPDATE (6/4/2023): Microsoft has changed its mind, the Verge reported Friday, and now will continue giving a free Xbox Game Pass Ultimate to most of its 238,000 employees, according to an announcement from Xbox chief Phil Spencer.

Earlier reports had suggested that Microsoft was removing the free Xbox Game Pass Ultimate benefit — and some employees weren't happy about it. From the Verge's earlier report: Sources familiar with Microsoft's plans tell The Verge that the company started informing employees this week that in January 2024 the free Xbox Game Pass Ultimate benefit for permanent Microsoft employees will no longer be available. I understand that Xbox employees will continue to keep the benefit, but the vast majority of Microsoft employees who aren't part of Xbox / Microsoft Gaming will see the benefit disappear next year.

Microsoft employees will be able to purchase a discounted 12-month Xbox Game Pass Ultimate Subscription at the company's internal store. Some Microsoft employees have taken to the company's internal messaging platform to voice their objections about the benefit being removed. The employee posts even prompted Xbox chief Phil Spencer to respond, noting that he wasn't aware of the changes and is looking into the situation.

XBox (Games)

Xbox's New Policy Says Goodbye To Unofficial Accessories (windowscentral.com) 127

In a significant development for Xbox users, the era of tinkering with your console to use unapproved accessories is drawing to a close. From a report: Xbox has taken a definitive stance by instituting a new policy that will block the use of unauthorized accessories with its consoles, effective as of November 17. This decision has already begun to reverberate amongst the gaming community, and many have already had a warning about it on their consoles in the form of error message 0x82d60002.

The error message states: "A connected accessory is not authorized. Using unauthorized accessories compromises your gaming experience. For this reason, the unauthorized accessory will be blocked from use on 11/12/2023. For help returning it, check with the store it came from or contact the manufacturer. To see authorized accessories, go to www.xbox.com/accessories. (0x82d60002)."

AI

How Microsoft's AI Investment is Stabilizing Its Cloud Business (nytimes.com) 12

ZDNet reports an interesting static from Microsoft's CEO Satya Nadella. "We have over 1 million paid Copilot users in more than 37,000 organizations that subscribe to Copilot for business, with significant traction outside the United States."

And Microsoft's quarterly results also "showed early signs that the company's investments in generative AI were beginning to bolster sales, most notably reversing what had been slowing growth of the company's important cloud computing product," reports the New York Times. (Alternate URL here.) The company had $56.5 billion in sales in the three months that ended in September, up 13% from a year earlier. Profit hit $22.3 billion, up 27%. The results beat analyst expectations and Microsoft's own estimates.

Microsoft had told investors that A.I. wouldn't start producing meaningful results until after the start of 2024, when more products became widely available. The company and its competitors are racing to put generative A.I. into nearly every product they offer. Microsoft is seen by many companies as a leading A.I. provider, thanks to its partnership with — and $13 billion investment in — the start-up OpenAI, which introduced the chatbot ChatGPT almost a year ago. Microsoft's flagship cloud computing product, Azure, grew 29%, up from 26% in the previous quarter. About three percentage points of Azure's growth came from generative A.I. products, including the access Microsoft provides to OpenAI's GPT-4 language model, more than the company had told investors to expect.

More than 18,000 organizations are using Microsoft's Azure OpenAI services, Satya Nadella, the company's chief executive, said in a call with investors. He said that included customers who had not used Azure before. "Azure again took share as organizations took their workloads to our cloud," Mr. Nadella said... The company said that sales could increase as much as 8.7% in the current quarter, exceeding investor expectations, and that it was investing in building data centers to support the demand for A.I. and cloud computing...

Microsoft's personal computing business grew just 3%, to $13.7 billion, reflecting how consumer behaviors have shifted since the laptop-buying binges of the pandemic. The revenue of the Windows operating system installed on new computers was up 4%. Gaming provided a consumer bright spot, with Xbox content and services up 13%.

Next month Microsoft integrates its Copilot AI product into its Excel/Word/Teams "productivity suite" — but Microsoft CEO Satya Nadella said that 40% of Fortune 100 companies have already been testing the feature during its "limited preview", and "so far, so good."

Yet the article notes it isn't all good news for Microsoft. Investment bank UBS has told investors that while Microsoft integrated an AI-powered chatbot into its Bing search engine, there is "no evidence" that Bing has actually gained any search market share.
XBox (Games)

Xbox Boss Is Open To Breaking the Seal On Some Forgotten Games (pcgamer.com) 43

An anonymous reader quotes a report from PC Gamer: Whether you think Microsoft's recent acquisition of Activision Blizzard is a move toward a dry gaming monopoly or a financial windfall for Activision and Blizzard games both, it's definitely happened. The UK's CMA has given the thumbs up, Kotick's on his way out -- the deal's closed, and now we get to see the impact ripples spread. It looks like there's already some great news for fans of Activision Blizzard's older catalogue, as confirmed by Xbox boss Phil Spencer himself in an official interview on the Xbox channel. "I do think with Game Pass that we have the ability to pick a couple franchises every year and almost do like a 'revisited' [version] -- I just made up that term ... when you look across the franchises that are part of our teams, there's an opportunity to go back."

"I wanna make sure that when we go back and visit something that we do it with our complete ability not just create something for financial gain (or a PR announcement), and not deliver." Ultimately, while he's got his own wishlist (the return of FPS classic Hexen is a running gag), Spencer says it's important for these fresh coats of paint to be a result of developer passion: "If teams wanna go back and revisit some of the things we have, and do a full focus on it, I'm gonna be all in. I think there's an amazing trove of [games] we can go and touch on again. I think about things like the Quake 2 remaster that just came out from [id Software], I thought that was awesome. They did a real good job revisiting a game, making it current, but not leaving its history behind. I'd love to see more things like that."

Microsoft

Microsoft Completes $69 Billion Activision Blizzard Purchase (bloomberg.com) 51

Microsoft completed its $69 billion purchase of Activision Blizzard after a nearly two-year fight with global regulators threatened to scuttle the deal. From a report: The biggest-ever acquisition in the video game industry gives the maker of Xbox consoles a more formidable position against rivals, vaulting it from fifth to third place globally, behind Tencent Holdings and Sony Group. The acquisition is a stunning turnaround after Microsoft executives underestimated the magnitude and longevity of antitrust objections, forcing the software giant to seek a three-month extension of the deal's expiration period from Activision.

Microsoft was able to close after making alterations to its merger agreement to win over UK authorities. The US Federal Trade Commission, which lost an attempt to block the transaction in court, continues to pursue legal action in its own administrative hearing. That could still force the two companies to unwind the deal if the commission is successful. The UK's Competition and Markets Authority announced on Friday that it had approved the deal after accepting a restructuring plan involving selling some gaming rights to French publisher Ubisoft Entertainment SA. The regulator was concerned about preserving competition in the nascent market for games streamed via the cloud.

XBox (Games)

Xbox Game Studios Could Use Board Games To Revisit Dormant Franchises (ign.com) 5

Microsoft could use board games to revisit dormant franchises owned by Xbox Game Studios, with Zoo Tycoon: The Board Game potentially being the first of many. From a report: Zoo Tycoon was developed by Elite: Dangerous studio Frontier Developments and published by Microsoft Studios (the previous name for Xbox Game Studios), on November 22, 2013 for Xbox One and Xbox 360. Speaking to Xbox Wire, Xbox Game Studios executive producer Robert Jerauld said this board game adaptation is a "prime illustration" of how Microsoft could expand its franchises that don't have video games in active development. "It's crucial to recognize that even if certain franchises aren't currently undergoing active development, they can still be actively appreciated by their fans," Jerauld said.

"Zoo Tycoon serves as a prime illustration of this. It presents a valuable chance for Microsoft to extend gratitude to the dedicated and ardent Zoo Tycoon fans who have worked tirelessly to sustain the game's enchantment. We acknowledge your dedication and deeply appreciate you." While Jerauld didn't say if he had any other dormant franchises in mind, Xbox certainly has a wealth to choose from. These could include Banjo-Kazooie, Viva Pinata, Blinx: The Time Sweeper, Project Gotham Racing, MechAssault and plenty more. There are some bigger names that haven't seen a release in a long time, of course, but many of these currently have sequels in development at Xbox.

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