In an industry where leaders are replaced a lot, hearing about Bobby Kotich leaving Activision is strangely surprising. Bobby Kotich has been CEO for 33 years. He will remain CEO until January 1, 2024, so that he can guide the company through the end of the year and through the beginning of the big merger with Microsoft.
Revealed by a tweet from Jason Schreier, Kotich has been CEO of Activision since 1990. Many gamers love to hate Kotich because he has been in charge during some of the most unpopular decisions for Activision. However, he was also in charge during the majority of the best ideas, not only saving the company from bankruptcy but also bringing in some amazing franchises.
For those who don’t know, around 11 years after being founded, Activision was affected by the video game crash and went into debt. The CEO was replaced, and the new CEO changed the company’s name to Mediagenic, which did not get them out of debt. Kotich and some investors bought the company for $500,000 and restored the old name.
He brought Activision back from the dead and saw it through all the way to this Microsoft deal. With the deal finally done, he’ll stay on for a few more months to see the merger through the year. With all of his stock in the company, he’s set to get a lot more than his 500k initial payment. This also explains why he will wait to leave. Were he to leave today, he would only get paid his shares with what Activision is worth today. In January, it should be worth a whole lot more money because the deal with Microsoft paints the company in a positive light. This will bring the share prices up, giving him a higher cash out when he leaves.
It’s a smart business move, but Kotich leaving means that Activision may find itself in new horizons. The direction they take from here will be watched closely, and I wish him luck in the future and thank him for having his company publish games like Spider-Man 2, Guitar Hero, Tony Hawk, Total War, and obviously, Call of Duty.
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