One of the proposals voted on by the shareholders was on which directors would be elected to serve for another term, including Bobby Kotick in the role of CEO.
I don't understand the specifics and I'm unaware of the optics and politics of this deal... But to me, it sounds like, behind the scenes, Microsoft was coerced into allowing this to proceed as a condition for the deal. If I'm using a clear example of my thinking, it's a bit strange that were getting this news shortly after the announcement of some big titles from Activision being on game pass like Diablo 4. Imagine having to walk that back. It would blow up, and if this is the case, that would be very shameful on Microsoft's part.
Alternatively, I must wonder how much Activision really wants this deal to go through. I suspect they're taking advantage of the average gamer's short attention span. The terrible culture at Activision was incredibly caustic to their reputation and the hopes of an acquisition allowed a lot of people to have misplaced confidence in the coming changes... Now that the storm has died down, Kottick has an opportunity to remain.
Even crazier... Is Microsoft also thinking this deal will not go through? Did they just posture to rehabilitate Activision's image as a favor to secure something from Activision in the future?
I'm speculating, but if there's any truth to my speculation, that is disgusting and embarrassing.
Sony fanboys can disagree all they want its illegal for Microsoft to try to tell them anything before they actually own them they will get sued into the ground if the shareholders can prove it and fined by the government.
I’m No surprised they only care about the money and he bring it in regardless of anything else a perfect fit for Microsoft next Xbox head of gaming division after Phil eventually drop the ball.
They were always going to re-elect the same guy during a transition period like this. The sooner the MS deal closes the better, get him out of the door ASAP.
So of course this is exactly to Microsoft's, the Board's and Kotick's plan. In order for him to get up to that 500+ million he has to be fired by Microsoft. That was their plan from the beginning. Its in his contract. This was the last real chance for the board to stop him from getting the impending gigantic payout. Now he is assured over half a billion from Microsoft in exchange for the buyout and being fired under Phil Spencer. Now Microsoft will pay him tripple salary on top of the stock buyout. They should have demanded him resgin as part of the deal beforehand but clearly Kotick was instrumental in crafting this deal. He laughs in your face every time you say '[Microsoft will] get him out the door'. NOW was the time to get him out.
Not sure that's anything to do with MS - they have zero say in goings on at Activision prior to the acquisition being approved.
That being said, we all know he gets a payout for being booted out, but sometimes you just have to bite that bullet. It's a better option than having him in the industry for another decade or two - for both employees and gamers.
Since MS didn't own the company, they couldn't demand anything. Of course, if/when MS owns the company, they don't have to fire him. They could demote him or remove him of any responsibilities, instead of firing him. The cleaning won't begin until this deal is finalized and completed.
Thing is if he's not thrown fired or otherwise leaves, will it really reflect on MS?
Honestly think, like most cases of backlash they've suffered, it will only be temporary. With likelihood that if he does stay on, he may even be put in charge of MS.
Microsoft has $70 billion worth of things they could say about Kotick. But like how business is business, they leapt at the chance to get a good price over standing up for the values they project in press releases.
@Eonjay Demote him and make him report to those he abused and exploited over the years
@Hatchet well another way of looking at it is, they’re doing a favor to the employees of Activision who will now get better working conditions.
@Godmars Literally zero chance of him becoming head of MS lol. Phil Spencer won’t even get that role, it’ll be someone on the more corporate side of things who understands azure etc, gaming isn’t about to take over Microsoft.
Yeah people saying it’s not on Microsoft the Board wont allow it, money talks if Microsoft say we’re not having it sure they may just lose out but I’m pretty certain the shareholders would go oh ish do we want our major payouts as well lose the deal unless we get rid of 1 guy. 🤷🏻♂️🤣 hey ho now they’ve abandoned Tony hawks 3/4 like utter morons I have literally 0 interest in this company.
It would need to be Activision who cut him (at this time) - and they won't shake the jello during an acquisition.
Microsoft have zero say in anything at this time. It's a bit like being in closing on a house. You can see the ugly wallpaper but you can't quite pull it off until all the paperwork is complete.
He's gone under MS for sure. No way they're going to keep such an employee around. Imagine the PR disaster.
MS can't even legally talk specifics about what their plans are for things when they take over. They don't own the company and have no say in any of this. I'd be illegal for them to interfere.
He's out as soon as the MS deal goes into effect. Until then, not surprised he's still around. He's a true scumbag, and horrible PR for the company, but he's also the reason Activision is as large as it is today. That's all that matters to investors.
We can only hope. This acquisition gives MS the chance to wipe the slate clean with Activision Blizzard and score some major PR points in the process. Everything leads back to this guy, from a Blizzard fan's perspective, there is no redemption until this slimey POS is gone. Hopefully MS get it right.
Based on what, exactly? As soon as the acquisition goes into effect Spencer essentially takes on Kotick's role.
All studios underneath The Activision/Blizzard banner are now just first party studios for Microsoft Game Studios. They are no longer beholden to stockholders as they were acting solely as a large game publisher. Kotick brings nothing to the table, as his expertise won't be applicable in the new environment that takes console sales into consideration, as well as the current focus by Microsoft with their Gamepass service.
You act like MS has never made illogical decisions before. Truth is most people who buy activision's games dont know or care who the CEO is. Dont know why you feel like a large corporation like MS would have such strong ethics, they want money, they'll keep whoever makes tham that money, until their presence starts affecting that money greatly, they dont care.
Unless he resigns are gets removed, which is possible, when Phil/MS takes control. He is still legal hot water, but the overwhelming amount of votes to keep him onboard at Activision, makes you wonder about people.
I mean, as dislikeable as he is, he did bring Activision back from the brink of extinction and brought massive success for tons of franchises that were pretty much dead. Maybe he will get a huge payout, but who cares?! How does that affect anybody? Hopefully he will take his money and just ride off into the sunset so the company can move forward without all the negativity surrounding him. Ultimately, there are a ton of great studios with great people and some great IP that can hopefully flourish under the Microsoft/Xbox banner.
Funny to see comments to the effect that MS will bin him off as soon as they can.
If he continues to bring in the stacks I could see MS think about retaining him. It ain't like MS are some holier than thou outfit, they are one of the greediest corps out there.
One has literally nothing to do with the other. Todd was the head of Bethesda studio, and a creative element of the team. There is no reason to get rid of him after the acquisition; nor did they ever insinuate they would.
Kotick is the current CEO of Activision/Blizzard - a role, essentially, being taken on by Phil Spencer when everything is said and done. He is not a creative type, he adds nothing to the actual products the company puts out, and his name holds a lot of negativity within the industry.
Microsoft just got rid of a technical fellow who was a leader in the AR space and brought them in stacks of cash including huge US military contracts etc. for similar behavior.
If you mean Alex Kipman, the guy behind Holo Lens and Kinect, he was allegedly a sexual predator that got away with it for way too long. This despite one co-worker sharing that he watched VR porn in a meeting.
There comes a point where there's just too much dirt in the public eye to ignore. They had no choice but to fire him at that stage, but according to those around him, it should've happened sooner.
I hope they don't keep Kotick as much as everyone does, but you just don't know with Microsoft. The more we make our collective distaste for Bobby apparent, the better. It can only help them decide.
"There comes a point where there's just too much dirt in the public eye to ignore"
Kotick is definitely far beyond that point. Infact, I'd say his behavior and the work culture he fostered is even worse than the Kipman situation - which bodes well for MS getting rid of him.
MS has spent the last 8 years (when Satya Nadella took over) completely revamping their workplace culture and public image. They no longer tolerate the kind of behavior we've seen at Activision Blizzard. This is why MS continues to be considered one of the best places to work.
Is it possible that Kotick stays once the deal finalizes? Sure. Is it likely? Far from it. It's already been reported that part of the acquisition deal is Kotick leaving with a $300M severance package.
If rumors are to be believed isn't Microsoft going to buy him out once the ABK deal is finalized. But it not surprising for a company that's all about the dollar more than most.
Excellent new! Bobby deserves to be head of Acti-Bliz for many years to come for being a great role-model and samaritan. Aspiring CEO's should take note.
With the MS deal, my wildest fantasy would be Phil Spencer going around the Activision upper management with a paintball gun like Ari Gold in Entourage. Obviously won't happen but it sure as hell brings a smile to face thinking about it.
Great!
They were always going to re-elect the same guy during a transition period like this. The sooner the MS deal closes the better, get him out of the door ASAP.
He's out as soon as the MS deal goes into effect.
Until then, not surprised he's still around. He's a true scumbag, and horrible PR for the company, but he's also the reason Activision is as large as it is today. That's all that matters to investors.
Oh heck no, in my opinion that's a disaster
Hopefully MS cleans house once the sale is complete. Get rid of Dobby Coatrack, and the entire board of directors.