Activision Blizzard, Inc. is now a Microsoft-owned gaming portfolio rather than a standalone public company. The company was formed in 2008 when Activision combined with Vivendi Games, bringing Blizzard Entertainment into the same corporate structure. Its roots go deeper: Activision began in 1979 as a pioneer of third-party console publishing, and Blizzard began in 1991 as Silicon & Synapse.
The cleanest financial anchor for Activision Blizzard is its last complete standalone annual report. In FY2022, the company reported $7.528 billion in net revenues and $1.513 billion in net income. It then reported strong Q1 and Q2 2023 results before Microsoft completed the acquisition on October 13, 2023. After that point, Activision, Blizzard, and King were folded into Xbox and Microsoft Gaming reporting.
Activision Blizzard Key Facts
| Company | Activision Blizzard, Inc. |
|---|---|
| Status | Microsoft-owned Xbox subsidiary |
| Founded | 2008 merger; roots in Activision 1979 and Blizzard 1991 |
| Headquarters | Santa Monica, California |
| Last standalone annual revenue | $7.528 billion in FY2022 |
| Microsoft purchase price | $75.4 billion total purchase price in Microsoft's FY2025 annual report |
| Core units | Activision, Blizzard Entertainment, and King |
| Major franchises | Call of Duty, World of Warcraft, Diablo, Overwatch, StarCraft, Warcraft, Candy Crush |
What Does Activision Blizzard Do?
Activision Blizzard develops and publishes games across console, PC, and mobile. Activision is built around Call of Duty and related studios such as Infinity Ward, Treyarch, Sledgehammer Games, Raven Software, Beenox, and Demonware. Blizzard is built around Warcraft, World of Warcraft, Diablo, Overwatch, StarCraft, Hearthstone, and Battle.net. King is built around Candy Crush and mobile game live operations.
How Activision Blizzard Makes Money
Before the Microsoft acquisition, Activision Blizzard made money through premium game sales, digital downloads, in-game purchases, battle passes, subscriptions, mobile in-app purchases, advertising, and licensing. Its FY2022 annual report shows $1.642 billion from product sales and $5.886 billion from in-game, subscription, and other revenues. That mix explains why the company was so valuable to Microsoft: the portfolio combines blockbuster game launches with recurring digital spending.
In the Microsoft era, the model also connects to Game Pass, Xbox Cloud Gaming, PC stores, console storefronts, advertising, and cross-platform publishing. Microsoft has added Activision Blizzard titles to Game Pass and cloud options while keeping Call of Duty available on rival platforms as part of regulatory commitments.
Who Founded Activision Blizzard?
The Activision side began in 1979 when Jim Levy and former Atari developers David Crane, Larry Kaplan, Alan Miller, and Bob Whitehead helped create the first major third-party console publisher. The Blizzard side began in 1991 when Allen Adham, Michael Morhaime, and Frank Pearce founded Silicon & Synapse, the studio that became Blizzard Entertainment. Activision Blizzard itself was created in 2008 through the Activision and Vivendi Games transaction.
Revenue and Financial Context
Activision Blizzard's last full standalone annual numbers are FY2022: $7.528 billion in net revenues, $1.513 billion in net income, and $8.514 billion in net bookings. In Q1 2023, the company reported $2.38 billion in revenue and 368 million monthly active users. In Q2 2023, it reported $2.21 billion in revenue, $2.46 billion in net bookings, 356 million monthly active users, and a major Diablo IV launch quarter. Because Microsoft closed the transaction in October 2023, later performance is best interpreted through Microsoft's gaming results rather than as a separate Activision Blizzard annual report.
Why Microsoft Bought Activision Blizzard
Microsoft bought Activision Blizzard because it wanted durable gaming intellectual property across mobile, PC, console, cloud, and subscription distribution. Call of Duty strengthens Xbox content, King expands Microsoft's mobile gaming position, and Blizzard adds deeply established PC franchises and communities. Microsoft later described gaming as a multi-device business built around first-party content, Xbox Game Pass, cloud gaming, advertising, and digital stores.
Leadership Today
Activision Blizzard's old public-company CEO structure ended after the Microsoft deal. Bobby Kotick remained during the transition and then left. Microsoft later named Asha Sharma as CEO of Microsoft Gaming, now Xbox, with Matt Booty as Chief Content Officer. At the studio level, Rob Kostich is listed as President of Activision and Johanna Faries became President of Blizzard Entertainment in 2024.
Competitive Strategy
Activision Blizzard competes across several markets at once. Electronic Arts pressures annual and sports-franchise economics. Epic Games competes through Fortnite and Unreal Engine. Roblox competes for user-generated creation and youth attention. Sony competes through PlayStation, first-party studios, and platform leverage. Tencent, NetEase, Nintendo, Take-Two, Ubisoft, and mobile studios compete in different slices of games, distribution, and attention.
The company's advantage is breadth. Very few publishers combine a dominant console shooter, a PC heritage portfolio, and a mobile monetization engine. The main risk is concentration: if Call of Duty, Candy Crush, Diablo, or Warcraft lose momentum, the portfolio can still feel exposed despite its scale.
Microsoft Integration and China Relaunch
After the acquisition, Microsoft began adding Activision Blizzard titles to Game Pass and cloud gaming channels. Blizzard and NetEase also renewed their China publishing agreement in 2024, bringing World of Warcraft, Hearthstone, and other Blizzard universes back to mainland China. That matters because China had been a major Blizzard market and because local publishing partnerships are critical for game availability there.
Frequently Asked Questions
What is Activision Blizzard?
Activision Blizzard is a Microsoft-owned video game publisher formed in 2008 from Activision and Vivendi Games, including Blizzard Entertainment and later King.
What was Activision Blizzard revenue?
Activision Blizzard's last complete standalone annual report showed $7.528 billion in FY2022 net revenues before Microsoft completed the acquisition in 2023.
Does Activision Blizzard still report standalone revenue?
No. After Microsoft completed the acquisition on October 13, 2023, Activision Blizzard stopped reporting as an independent public company and became part of Xbox.
Who owns Activision Blizzard now?
Microsoft owns Activision Blizzard. The business sits inside Xbox alongside Xbox Game Studios, Bethesda, Activision, Blizzard, and King teams.
Who founded Activision Blizzard?
Activision Blizzard was formed by merging Activision with Vivendi Games in 2008. Its roots include Activision's 1979 founders and Blizzard's 1991 founders.
Who is the CEO of Activision Blizzard?
Activision Blizzard no longer has the same standalone public-company CEO structure. Asha Sharma leads Xbox, while Rob Kostich leads Activision and Johanna Faries leads Blizzard.
How does Activision Blizzard make money?
The business makes money from premium games, in-game purchases, battle passes, subscriptions, mobile in-app purchases, advertising, licensing, and Game Pass distribution.
What are Activision Blizzard's biggest franchises?
Its biggest franchises include Call of Duty, World of Warcraft, Diablo, Overwatch, StarCraft, Warcraft, Candy Crush, Crash Bandicoot, Spyro, and Tony Hawk.
Sources
- Activision Blizzard 2022 Annual Report
- Activision Blizzard First Quarter 2023 Financial Results
- Activision Blizzard Second Quarter 2023 Financial Results
- Microsoft 2025 Annual Report
- One Year On: Microsoft's Acquisition of Activision Blizzard
- Asha Sharma Named EVP and CEO, Microsoft Gaming
- Activision About Us and Leadership Team
- Introducing Johanna Faries as President of Blizzard Entertainment
- Blizzard Entertainment and NetEase Renew Agreement
- Vivendi and Activision Complete Transaction to Create Activision Blizzard
