The lawsuit alleges that the companies colluded to profit from the harassment scandal at Activision Blizzard. Allegedly, Microsoft offered Bobby Kotick “a way to save his skin” by giving him a chance to avoid responsibility and retain his position as CEO at least until the deal's closure. In return, Microsoft was able to purchase the publisher at a lower price.
Microsoft and Activision Blizzard, in their comments to the media, denied AP7's claims and stated that the acquisition was agreed upon legally.
Update:
In May 2026, the parties preliminarily agreed to settle the matter amicably. Microsoft agreed to pay Activision Blizzard's shareholders an additional total of $250 million but did not admit guilt, emphasizing that it was doing so to save time and resources due to the legal proceedings. In turn, AP7 withdrew the allegations and acknowledged that they were partly based on media reports and previously stated accusations from the California Civil Rights Department, which were also eventually withdrawn and not substantiated either through independent investigation or in court.
"Plaintiff acknowledges that, based on the materials provided to date, there is compelling information which undermines any claim that the Board or Mr. Kotick failed to operate in good faith with respect to the matters alleged in the Action," the attorneys for Bobby Kotick stated.