Merger Will Create Games Behemoth

Activision and Vivendi Games will in less than a month merge which will morph both companies into the largest third-party games publisher globally, dethroning Electronic Arts, and give the new entity control of World of Warcraft developer Blizzard Entertainment.

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And to make matters even juicier for Activision, the company is expected to announce a whopping 76 percent jump in sales.

According to overseas reports, fuelled by “Guitar Hero 3” and “Call of Duty 4,” analysts estimate the company will report an 18 per cent rise in revenues to $US369 million for its fourth quarter.

Earnings are also expected to jump to $US16 million, with a loss of $US10 million in the same period last year.

It seems the battle for the king of the videogame hill is just getting interesting.