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Video game giants in $18bn merger


Dracion1

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http://news.bbc.co.uk/1/hi/technology/7123582.stm

 

 

 

The companies behind Call of Duty and World of Warcraft are merging in a deal which could shake up the global video games industry.

 

 

 

Activision and Blizzard have said they will form "the world's most profitable games business" in a deal worth $18.8bn (ÃÆââ¬Å¡Ãâã9.15bn)...

 

 

 

I have no idea what's going to become of this. Either there'll be a new MMORPG which (knowing lizzard) will be extremely successful or they will make 'classic CD/DVD' games. Anyway, discuss.

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A World War II MMO would be excellent.

 

 

 

Hopefully they can come to some compromise in terms of games - from what I've seen, Activision specializes in a much different genre from Blizzard. It'll be interesting to see the brainchild of the two companies.

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If this enables both companies to develop good quality games at a faster pace.. What's not to like?

 

 

 

The merged business will be called Activision Blizzard

 

 

 

Uhh.. Not very original though.. :lol: They didn't even bother with Actibliz or Blizzivision which may not be a bad thing after all...

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Nothing good will come of this.

 

 

 

Everytime when 2 companies think its a great idea to partner, the middle man, and in this case, the gamers, get hurt.

 

 

 

Its going to be a catch 22 probably for trouble shooting whatever new game they come out with.

 

 

 

Gamer: Hey I got this problem..

 

COD: Go to blizzard..

 

Gamer: Hey, blizzard told me to go to you cuz I got this problem..

 

Blizzard: Go to COD..

 

 

 

I wouldn't be too excited till AFTER you play the game.

 

 

 

 

 

Remember, these guys are merging to probably to kill out competition, which is bad.

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Nothing good will come of this.

 

 

 

Everytime when 2 companies think its a great idea to partner, the middle man, and in this case, the gamers, get hurt.

 

 

 

Its going to be a catch 22 probably for trouble shooting whatever new game they come out with.

 

 

 

Gamer: Hey I got this problem..

 

COD: Go to blizzard..

 

Gamer: Hey, blizzard told me to go to you cuz I got this problem..

 

Blizzard: Go to COD..

 

 

 

I wouldn't be too excited till AFTER you play the game.

 

 

 

 

 

Remember, these guys are merging to probably to kill out competition, which is bad.

 

 

 

I don't think you fully understand.

 

 

 

It isn't like Blizard Entertainment is going to be working with Infinity Ward (CoD right?) on games together. The only similarity they will have is they will be under the same, generic, label as Activison Blizzard.

 

 

 

 

 

The general idea for this merger is that there will be more money flowing around the company, allowing for better games (because they will have a larger budget).

 

 

 

Not like blizzard has ever had a problem with that, but it's a good move.

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Nothing good will come of this.

 

 

 

Everytime when 2 companies think its a great idea to partner, the middle man, and in this case, the gamers, get hurt.

 

 

 

Its going to be a catch 22 probably for trouble shooting whatever new game they come out with.

 

 

 

Gamer: Hey I got this problem..

 

COD: Go to blizzard..

 

Gamer: Hey, blizzard told me to go to you cuz I got this problem..

 

Blizzard: Go to COD..

 

 

 

I wouldn't be too excited till AFTER you play the game.

 

 

 

 

 

Remember, these guys are merging to probably to kill out competition, which is bad.

 

 

 

I don't think you fully understand.

 

 

 

It isn't like Blizard Entertainment is going to be working with Infinity Ward (CoD right?) on games together. The only similarity they will have is they will be under the same, generic, label as Activison Blizzard.

 

 

 

 

 

The general idea for this merger is that there will be more money flowing around the company, allowing for better games (because they will have a larger budget).

 

 

 

Not like blizzard has ever had a problem with that, but it's a good move.

 

 

 

That doesn't make a lot of sense, due to the fact that 1 company or both think they have a larger pool, but in reality they really have the same amount. I guess they want to make it easier on loans? Perhaps, either way, this will be intresting then.

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The general idea for this merger is that there will be more money flowing around the company, allowing for better games (because they will have a larger budget).
That's what I don't get. How are they going to get more money?

 

 

 

They're not moving any offices, they don't seem to be planning any consolidations... If they're not going to streamline their business by removing duplicate functions, I don't follow how they're going to get more money? :-k

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The general idea for this merger is that there will be more money flowing around the company, allowing for better games (because they will have a larger budget).
That's what I don't get. How are they going to get more money?

 

 

 

They're not moving any offices, they don't seem to be planning any consolidations... If they're not going to streamline their business by removing duplicate functions, I don't follow how they're going to get more money? :-k

Basic ecconomics really, gross profit for the "parent company" is more than both "child companies" would've made on their own, so at the end of the day, disposable income which can go to either (depending on requirement) is increased.
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The general idea for this merger is that there will be more money flowing around the company, allowing for better games (because they will have a larger budget).
That's what I don't get. How are they going to get more money?

 

 

 

They're not moving any offices, they don't seem to be planning any consolidations... If they're not going to streamline their business by removing duplicate functions, I don't follow how they're going to get more money? :-k

Basic ecconomics really, gross profit for the "parent company" is more than both "child companies" would've made on their own, so at the end of the day, disposable income which can go to either (depending on requirement) is increased.

 

 

 

^ That.

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If this enables both companies to develop good quality games at a faster pace.. What's not to like?

 

 

 

The merged business will be called Activision Blizzard

 

 

 

Uhh.. Not very original though.. :lol: They didn't even bother with Actibliz or Blizzivision which may not be a bad thing after all...

 

 

 

Monopolies tend to = declined in quality and generally negative outcomes for consumers.

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Even with this merger, I'd still say EA is closer to a monopoly than anyone else in the industry, and even then the scope of that monopoly is very small.

 

 

 

It's like a battle of linux distro's if you wan't to compare the video game industry as to which is closer to a monopoly :lol:

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I thought I read a while ago that Activision was getting close to the size of EA. With this merger they are probably the same or close to it. Means we definitely aren't dealing with a monopoly. You could argue an oligopoly but I think there are enough other studios for it to not be anything.

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