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Vivendi Case Study

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Vivendi Case Study
1. Background
Video games are one of the most important and popular entertainments in 21st century. As a famous company of this field, Vivendi acquired the Activision in Dec 2007. After that transaction, the two big giants of gaming industry, Activision and Vivendi games— which includes Blizzard entertainment, announced that they would form "the world's most profitable games business" in a merger deal of $18.8 billion. The business range of the new company named “Activision Blizzard”, would cover every territory of the world on every gaming platforms, such as PS3, Xbox 360, Wii and PC games. BBC news said, “The companies behind Call of Duty and World of War craft are merging in a deal which could shake up the global video games industry.”

Activision, which was found on October 1st 1979 in French, is one of the world’s leading independent publishers for the interactive entertainment. It is famous for its top selling game series--Call of duty. Especially, Call of duty 4 has sold over 10 million units and received awards from various game sites and gaming authorities. Moreover, Activision is well known for other good selling games, such as Tony Hawk series, Guitar Hero, Spider Man, Transformers and X-men. According to the research from the leading global market research company-the NPD group, Activision is now one of the largest third party video game publishers in the world and was also the top publisher for 2007 in the United States.
Vivendi is an international French media company with business in music, television, film, publishing, telecommunications, internet and video games. The reputation of interactive entertainment of vivendi is well known for its division companies, including Blizzard Entertainment, Sierra Entertainment and Universal Interactive Studios. In this merger deal, Blizzard entertainment, which was originally founded by Michael Morhaime, Ayman Allen Adham and Frank Pearce as Silicon & Synapse in February 1991 in America, is the leading

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