Microsoft and Activision have formed a joint venture. Microsoft’s $68.7 billion cash bid to acquire Blizzard was made recently, making gaming history’s largest acquisition. With the purchase, Microsoft’s Xbox and PC gaming businesses will be joined by Activision Blizzard’s Call of Duty, World of Warcraft, and Overwatch franchises, as well as Fallout, Forza, and Halo. Microsoft’s Xbox Game Pass subscription program, which has 25 million customers, is expected to benefit significantly from this news.

In order to buy Activision Blizzard for $68.7 billion, Microsoft has formed a Microsoft Gaming division. Phil Spencer, the former president of Xbox, will lead this team as it concentrates on gameplay across mobile, PC, Xbox, and cloud platforms. This is a massive promotion for Spencer, the Xboss among Xbox enthusiasts.

After Terry Myerson stepped down as the director of Microsoft’s Windows division, Spencer assumed control of the Xbox division in 2014. In 2017, Spencer was promoted to corporate vice president of gaming, directly reporting to Microsoft CEO Satya Nadella, indicating how gaming has evolved at Microsoft under Spencer. In his new role as CEO of Microsoft Gaming, Spencer oversees the company’s efforts in the metaverse, mobile gaming, and cloud gaming with the help of more than 20 game companies.

It is their hope that the alliance of Activision, a company known for its world-class talent and renowned brands, with Microsoft would assure their sustained success in a market that is becoming more and more competitive.

The deal is subject to customary closing conditions, the conclusion of the regulatory assessment, and the approval of Activision Blizzard shareholders. As soon as the acquisition is finalized in the fiscal year 2023, it will add to non-GAAP profits per share. Both Activision Blizzard and Microsoft have given their blessing to the deal. Follow Activision Blizzard on Twitter to see more of their posts.