World Bank criticizes Microsoft’s purchase of Activision Blizzard

Microsoft opened 2022 with one of the most important purchase operations in recent years, but it has also become one of the most controversial, not only because of the situation in which Activision Blizzard finds itself, but also because it involves a considerable outlay and , According to some experts, it is a questionable investment.

The World Bank, an international organization specializing in financial and investment issues that offers loans, assistance and resources in a personalized way to developing countries, gave its point of view on this operation, and the truth is that its conclusions are not at all positive . David Malpass, president of said organization, commented that this purchase operation could be defined as «a questionable allocation of capital at a time when poor countries are struggling to restructure debts, fight COVID-19 and poverty.”

According to Malpas, it is a bad investment because it helps to generate a greater flow of capital in countries that are already very rich (the United States, in this case). His approach starts from a solidarity perspective that, the truth, clearly moves away from the classic concept of good or bad investment, centered on the idea of ​​profitability in a broad sense, but his opinion seems very interesting to me.

What I have been able to make clear from all the assessment that the president of the World Bank has issued is that he believes, in short, that Microsoft, and other large technology corporations, should consider investing more in developing countries, instead of continuing to spend billions of dollars buying from other companies, a practice that, in the end, continues to feed the classic idea that the big fish eats the little ones.

I find Malpas’ position laudable, but if we start from that classic vision of the concept of good investment, i think microsoft got it right with the purchase of Activision Blizzard, since this helps it to place itself in a truly enviable position within the video game sector, and will allow it to boost the value of one of its star services, Game Pass, as well as that of its consoles.

On the other hand, we must also take into account that, with this acquisition, Microsoft is also putting pressure on Sony, its direct rival, and in what way. They are only the news of that purchase operation the Japanese giant lost 20,000 million dollars on the stock market.

Cover image: Reuters.

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