Activision Blizzard, Inc., publisher of video game mega-hits including Call of Duty and Guitar Hero, announced plans to acquire Major League Gaming, a 12-year-old organizer of competitive eSports events, for a reported $46 million.
Under the deal, MLG will continue to product competitions using games created by Activision and other publishers, and will continue to operate the online broadcast network MLG.tv. MLG co0founder and CEO Sundance DiGiovanni will remain at the head of the new division under Activision.
“Our acquisition of Major League Gaming’s business furthers our plans to create the ESPN of eSports, Activision CEO Bobby Kotick said in a statement.
The announcement comes after several high-profile hires and acquisitions by Activision, including the hiring of MLG co-founder Mike Sepso and former ESPN and NFL Network executive Steve Bornstein last year.
In October, Activision unveiled plans to shift an annual “Call of Duty ” tournament to a year-round international league, as well as increase the prize pool from $1 million to $3 million
Competitive eGaming draws tens of millions of spectators online and in person. Last year, a report released by research firm Newzoo said 205 million people watched eSports in 2014.
