For weeks I had been mixing Xbox Game Studios with Activision Blizzard as I thought (an MANY GAMERS) that the direct effect on Microsoft buying Activision Blizzard would be making it part of the Xbox Game Studios family, but as per a report, it claims that it will not be the case.
If the FTC fails to get granted a preliminary injunction to avoid Microsoft buying Activision Blizzard, Activision Blizzard would be a limited integrated to Microsoft.
In plain words, will have limited integration into Microsoft, meaning Activision Blizzard will essentially be its own operational unit outside the purview and control of Xbox Game Studios lead Matt Booty and that is how operates Bethesda (which I had been calling it part of Xbox Game Studios for quite a time too, and will stop doing that).
This is part of Xbox gaming CFO Tim Stuart of a transcribed deposition that became available late last week, in which described how Activision Blizzard will be folded or not within the Microsoft Gaming machinery.
The good thing for Microsoft on not absorbing Activision Blizzard at its entirely despite the pay price, is that Microsoft can be in a better condition for further acquisition in the future, specially those transactions considered vertical (when company A buys company B, none being an actual competitor to each other).
And of course, this could help also if the FTC or the CMA decide to go on a full lawsuit even after Microsoft closes the deal, a pretty much high probable scenario that it will happen as at least the FTC, reportedly, will not give up even after the sales closes and probably would look to fine Microsoft.