Robert Kotick, who has been CEO of Activision Blizzard since 1991, will likely depart the company on December 29th, 2023. Upon Microsoft closing its deal to purchase Activision-Blizzard-King (i.e., ABK), it was reported that Kotick would remain but only on a temporary capacity to help in the transition of the purchase. In a public memo to all employees, Kotick stated that the company would transition away from its independent company leadership to that of Phil Spencer and Matt Booty. He also stated:
Phil Spencer has appreciated the magic of ABK for decades. When he approached Brian and me two years ago and proposed acquiring the company, it was immediately obvious that the combination of our businesses would enable us to continue to lead as the list of capable, well-resourced competitors grows.
Phil shares our values and recognizes our talents. He is passionate about our games and the people who make them. He has bold ambition.
Bobby Kotick is not leaving his position without a sizeable payout, however. Business Insider reported that Kotick's payout to support Microsoft's purchase of ABK and to opt him out of future leadership positions post-purchase amounted to $400 million. That amount is high in part because Kotick took a pay cut in 2021 due to the company's lawsuit with the state of California related to workplace discrimination as well as sexual, emotional, and physical harassment.
Speaking of which, Activision Blizzard has agreed to settle that lawsuit with the state of California to the tune of $54 million. As per TechChrunch "Roughly $46 million of the funds will go to compensate workers, particularly women who were employees or contractors with the company from 2015 to 2020." However, as part of the settlement the California Civil Rights Department was forced to agree to absolve Bobby Kotick of any criminal wrongdoing and agree that it failed to present any evidence of illegal behavior on his behalf.
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