The last time I remember Microsoft putting up this kind of bid, it failed. It was a nearly $45bn bid for Yahoo Inc! which ultimately flopped in the face of unreasonable bargaining by then CEO Jerry Yang. It was fortuitous because Yahoo later devalued quickly under the relentless competition of newer nimble tech firms and was bought at a fraction of that amount. Microsoft must have sighed with relief.
The tech major, is now back to buying, announcing yesterday that it has placed a US$69.5bn bid for video game maker Activision Blizzard.
This would vault Microsoft, maker of the Xbox gaming console, into the top 3 of the multibillion dollar gaming industry along with giants like Sony and EA (Electronic Arts).
Observers are first pointing to the mobile gaming scene which has been growing by leaps and bounds. Microsoft is weak here and the catalague it will acquire from Activision will launch it into relevance.
Others however are focused on the growing focus on Virtual Reality and the Metaverse. Seen as a virtual reality world where people can interact and work virtually, the metaverse has also become the point of focus for tech major, Facebook, now rebranded Meta, as well as a host of other technology companies.
Microsoft is betting on the existence of Sony and EA Sports to pass regulators' approval by pointing to a competitive landscape.
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