Microsoft has agreed to settle a high-profile class action lawsuit initiated by Activision Blizzard shareholders for $250 million. The case had grown increasingly messy in recent years, reaching a point where it threatened to renew scrutiny of the misconduct allegations that had shadowed Activision Blizzard before its sale to Microsoft.
The lawsuit was brought in 2022 by Swedish pension fund Sjunde AP-Fonden (AP7), which argued that Activision Blizzard acted too quickly in selling itself and deprived shareholders of a chance to secure a higher price than Microsoft’s $95-per-share offer. The plaintiffs accused former CEO Bobby Kotick of rushing the sale in a bid to protect his own position as the company faced growing scrutiny over alleged workplace misconduct. The case eventually became notable both for challenging the blockbuster merger and for bringing Activision Blizzard's workplace conduct controversies back into focus.
Xbox is at a pivotal moment in its history, and with upcoming first-party games and operational changes, it could be poised for a comeback.
After four years' worth of legal drama, the dispute now appears to be ending, according to a preliminary settlement notice filed in Delaware's Court of Chancery and made public in...
