So...

So, this was in the news today. https://finance.yahoo.com/news/disney-investor-thinks-company-buy-192108756.html

It's not just on yahoo by the way, on sites such as Bloomberg as well. Now get your mouse house rules the world complaints out of the way first, let me explain why this simply doesn't work. I cannot see the logic in this purchase if it ever occurs.

Lemme explain. Aside from Monopoly laws being a thing, Activision recently had a 43% drop in the stocks, which in business terms means that's not a good inclination to buy something. And anyways, Activision cannot really put out in house games on a consistent basis which is another major turn off. Even if they did, it would be a bad buy anyways given Disney's past history with video games. To quote:

Disney’s history in the video-game business isn’t great. The company acquired game makers such as Playdom and Club Penguin, bought game studios and launched a gaming platform called Infinity. But after running up hundreds of millions of dollars in losses, the company shifted to letting companies like Electronic Arts Inc. make games based on its characters for a fee.

What's the longest a video game division in Disney has lasted? Seems like stupid really. And I seem to remember Disney said they for the most part outright avoid the videogame industry. The only reason they got EA was that they had Star Wars basically, and we all know how that's going. Iger said they had no interest in games. Now, he's out in a few years so it may change but for right now...?

Games...they don't fit with Disney's business model. They prefer to license their properties out for a few quick, easy bucks. One guy on a forum said this, and I agree with him.

What you need to understand is that Disney pretty much nothing from their licensing, it's the smallest drop in the ocean of their revenues. Disney cares about two things, and two things only: 1) Theme Parks and 2) TV. Everything about their business model is about supporting those two main pillars of their revenue. Film is their third revenue generator, but it is far behind the first two. Why do you think they are pushing so hard with Disney+ and getting those Marvel properties on to it? Why do you think they immediately started building a Star Wars area of their theme park? This is Disney's bread and butter, not toy licensing or video game sales.

Basically, I cannot see this working and that's only if it actually goes through. Activision can always just say no.