Microsoft has agreed to settle the lawsuit filed by Activision Blizzard's shareholders from four years ago, committing as much as $250 million for investors.
The shareholders previously filed a lawsuit against Activision Blizzard for its alleged misconduct that significantly affected the company before its sale to Microsoft.
Microsoft Agrees to Settle Activision Blizzard Lawsuit for $250M
GameRant reported that the lawsuit was brought by Sweden's AP7 in 2022, and they argued that Activision Blizzard moved significantly fast to sell the company to Microsoft.
The plaintiffs claimed that former CEO Bobby Kotick rushed the deal to protect himself, particularly as the company faced growing scrutiny over alleged workplace misconduct.
The shareholders claimed that they were deprived of a chance to secure a higher price than Microsoft's $95-per-share offer which was the final figure in the deal.
Under the proposed settlement, Microsoft would pay $250 million with no admission of wrongdoing from either party, which is typical for agreements of this kind.
The payout would translate to roughly 30 cents per share for former Activision Blizzard shareholders who held stock between Microsoft's acquisition announcement in January 2022 and the deal's completion in October 2023.
However, this settlement is pending depending on a judge's approval.
In early 2026, it was known that Kotick counter-sued AP7 over what he called an "abuse of process," but thanks to this latest settlement, it is expected that all disputes are now expected to be resolved.
Microsoft and Activision Blizzard Acquisition Timeline
Four years ago, Microsoft officially announced its intent to acquire Activision Blizzard for $68.7 billion, making it the largest acquisition in the gaming industry, as well as the technology sector.
However, after the deal was officially completed in October 2023, Microsoft revealed that the acquisition's price totaled to $75.4 billion.
It is known that the acquisition faced years of regulatory pushback before it was cleared, as many rival studios and gaming companies argued against Microsoft being transformed into a monopoly because of Activision Blizzard King's scale and owned IPs.
After all that's been said and done, Microsoft successfully acquired ABK and became the new owner of franchises like "Call of Duty," "Diablo," and more.
