Tuesday, 3 November 2015

Activision Blizzard buys Candy Crush Saga Maker

Call of Duty publisher Activision Blizzard has bought King Digital Entertainment, the creator of mobile smash hit Candy Crush Saga, in a deal worth $5.9 Billion. King Digital Entertainment had built one of the largest networks of players on Facebook and on mobile devices noting that King’s games had 474 Million active users in the third quarter of 2015.
Activision already owns one of the biggest gaming franchises in Call of Duty, in addition to Destiny and huge properties such as World of WarCraft and StarCraft as a result of its merger with Blizzard in 2008. The company’s gaming portfolio grows even bigger with the addition of the biggest name in social gaming. Consumer spending on Candy Crush fell 13 percent year over year in the second quarter of this year.

Activision Blizzard games are played on consoles such as Microsoft Xbox and Sony PlayStation. King floated on the New York Stock Exchange in March last year with a valuation of almost $8 Billion making it the most valuable British business of the tech craze. Candy Crush became wildly popular racking up a billion plays a day on smartphones for the company, based in London West End.

This acquisition clearly demonstrates a new commitment to mobile for Activision as well as the will to diversify their IP Portfolio to a more global female audience. Activision has taken in the past a more reserved approach to mobile, releasing only a handful of titles, like Hearthstone and mainly using mobile apps as side experiences to their PC and console games. In the meantime, global competitors such as EA or Tencent have embraced this new sector.

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