The sexism scandal surrounding video game studio Blizzard (WoW, Diablo, Overwatch) is now affecting publisher Activision (Call of Duty). The Wall Street Journal has made serious allegations against CEO Bobby Kotick (58) in an exposé, claiming he was aware of the company’s misconduct but kept it from the board. He also allegedly threatened to have an assistant killed.
This is the situation:
- In July 2021, a government agency filed charges against Activision Blizzard: It primarily focused on incidents of sexism at Blizzard Studio, where a culture reminiscent of a fraternity thrived; drinking at the workplace was common, and women were sexually harassed, belittled, and poorly paid.
- As a result, more allegations emerged; the President of Blizzard had to resign, a new leadership duo took charge, and measures were initiated to develop the company into a “safe workplace.” Among other things, 20 employees were fired and new, strict rules were established.
- The allegations were largely confined to Blizzard, with little focus on the publishing arm Activision and the studios working on Call of Duty. That is now changing.
Kotick allegedly knew about rapes
Where do the allegations come from? The Wall Street Journal has published a major report focusing on the CEO of Activision Blizzard, Bobby Kotick (58), while also providing a behind-the-scenes look (via wsj).
The report is titled: “Activision CEO Bobby Kotick has known for years about allegations of sexual abuse at the gaming giant.”
Kotick subsequently waived a large portion of his salary in October 2021 as a consequence of the scandal. However, he had previously received a massive bonus.
These are the allegations: According to the article, a lawyer for a former employee of Sledge Hammer Games (Call of Duty) informed Bobby Kotick in an email in July 2018 that his client had been raped by her male supervisor in 2016 and 2017 after he got her to drink too much alcohol at the office. The employee reported this to HR, but nothing happened. Now she is threatening with a lawsuit.
Within months, the lawsuit was settled out of court: Kotick allegedly kept the allegations of rape from the board. The Wall Street Journal cites sources close to the board.
Moreover, it states: Kotick was aware of numerous accusations but did not inform the board about everything.
Kotick allegedly is behind controversial email from Townsend
When the sexism allegations against Blizzard arose, Kotick reportedly instructed employee Fran Townsend to brusquely dismiss these allegations in an email to Activision Blizzard employees. The Wall Street Journal states it has sources to back this up.
The board was completely taken by surprise by the lawsuit: Only through the indictment did they learn that an Activision Blizzard employee had committed suicide after naked pictures of her were circulated at a company party.
In response to queries from the board, Kotick stated that “this culture” was confined to Blizzard. The problems have now been resolved.
Kotick allegedly threatened an assistant with murder in 2006
The Wall Street Journal article contains many more allegations against Kotick:
In 2006, an assistant complained that Kotick was harassing her and threatened in a voicemail to have her killed. This was also settled out of court, according to sources.
A spokesperson for Activision Blizzard commented on the incident, saying that Kotick settled it 16 years ago, and that this was clearly exaggerated and inappropriate. He has deeply apologized for it.
We recently dealt extensively with Blizzard’s situation at MeinMMO:
Stock price falls – employees threaten strike
How Activision Blizzard is reacting: In a statement to the business site Bloomberg, they criticize the Wall Street Journal’s reporting. They claim the report ignores “important changes” (via twitter). The company has responded to allegations of sexual misconduct and initiated significant changes to make Activision Blizzard an inclusive workplace.
The report does not take into account that thousands of employees work hard every day to uphold the company’s values and their own. Under Mr. Kotick’s leadership, they have already made “significant improvements” and will continue to do so.
The text of the video message has now been published by Activision Blizzard (via activisionblizzard).
This is how the stock market reacts: Activision Blizzard’s stock price has fallen by 6%. Already after the delay of Overwatch 2 and Diablo 4, it had dropped significantly.
This is how the employees react: As journalist Jason Schreier reports, employees at Activision Blizzard are planning to organize a strike to push for Bobby Kotick’s removal (via twitter).
Further, Schreier reports that this morning Activision has already given people the entire next week off for Thanksgiving. They also criticized the Wall Street Journal article in a video to employees and defended Activision.
It was apparent that something was wrong at Blizzard when their new head left shortly after her promotion:
Employee says: In 2020, Blizzard had 3 powerful women; all left in 2021.
