In a record-breaking move, Microsoft has acquired Activision Blizzard, the renowned video game company, for a staggering $69 billion. This transaction is deemed the largest in video game history and will significantly broaden Xbox's first-party offerings with Activision Blizzard's extensive portfolio, which includes popular games such as "Call of Duty" and "World of Warcraft".

This acquisition could expand the Xbox Game Pass library, with Xbox's Phil Spencer confirming that work has already begun to bring Activision Blizzard games to the platform. However, he cautioned that it might take a while for these games to be available, with titles like "Diablo 4" and "Call of Duty Modern Warfare 3" expected on the subscription service by 2024.

While this move enhances the value of Game Pass subscriptions, it also seeks to boost Xbox's performance in the gaming market, which has lagged behind Sony's PlayStation for years. Microsoft is optimistic that its substantial investment will result in a productive return, strengthening their position in the competitive landscape.

Moreover, this acquisition is also met with approval from many Activision Blizzard employees. Controversial CEO, Bobby Kotick has announced that he will only remain until the end of the year. Activision Blizzard has faced numerous accusations of sexism, a harmful work environment, and allegations against Kotick that were mishandled, resulting in several employee unrest in recent years.

With the acquisition, Microsoft seems to be neutral regarding Activision Blizzard employees' unionizing ambitions. This approach could offer a clearer path to collective bargaining for a significant number of workers.

Microsoft's acquisition has also impacted its strategy in cloud gaming. To appease regulators, they sold off their cloud gaming rights to "Assassin's Creed" maker Ubisoft. Despite this, analysts believe that the loss is unlikely to have a significant impact on Microsoft.

Furthermore, Microsoft now also possesses King, the maker of the sensational mobile game, "Candy Crush". This gives the company leverage to strengthen its position in the mobile gaming arena and potentially build its own app store. However, for the immediate future, the focus remains on enhancing the appeal of the Game Pass and reviving some of the inactive franchises from Activision Blizzard.