Microsoft-Led Reorganization Marks the End of an Era as Bobby Kotick Departs Activision Blizzard

In a seismic shift for the gaming industry, Bobby Kotick, the stalwart CEO of Activision Blizzard for the past 32 years, is set to officially step down on December 29. This move is part of an extensive reorganization unfolding in the wake of Microsoft's acquisition of the gaming giant. Kotick, who assumed the role just 12 years after Activision's 1979 inception, led the company through numerous transformations, including the inception and triumph of the Call of Duty franchise, the Guitar Hero era, and the acquisition of Candy Crush maker King, culminating in the recent acquisition by Microsoft.

Kotick's departure comes amid the backdrop of a $54 million settlement with the California Civil Rights Department over gender discrimination allegations against Activision Blizzard. The settlement found no evidence of systemic harassment, but controversy surrounded Kotick's alleged knowledge of the accusations for years.

Microsoft's Xbox head, Phil Spencer, announced Kotick's departure alongside other organizational changes, including the direct reporting of key executives to Xbox game content and studios president Matt Booty. Notably, Activision Blizzard CCO Lulu Meservey, a figure embroiled in controversy, is set to leave the company in January.

This restructuring follows Microsoft's acquisition of Activision Blizzard and includes prominent franchises now under Xbox ownership, such as Call of Duty, Diablo, Halo, World of Warcraft, and The Elder Scrolls. The changes aim to provide clarity and accountability at the leadership level while fostering a welcoming and empowering culture, as outlined in Spencer's letter to employees. This marks the second significant reorganization from Microsoft since the closure of the acquisition in October. The gaming community awaits further details on the 2024 lineup of games across Activision, Bethesda, Blizzard, King, and Xbox Game Studios.