California Civil Rights Department v. Activision Blizzard

For years, Activision Blizzard has been a leading force in gaming, known for blockbuster franchises including Call of Duty, Warcraft, and Candy Crush Saga. Its $75.4 billion acquisition by Microsoft in 2023—the largest deal in video game history—underscored just how central Activision Blizzard has become to the industry’s landscape. It has 17,000 employees worldwide, but just 26% are women.

The lawsuit alleged Activision Blizzard fostered a workplace culture that encouraged sexual harassment. Women said that working there was like working in a frat house, with inappropriate comments and touching that were, in some cases, encouraged by supervisors. When employees complained, the company’s response wasn’t just inadequate—it was retaliatory, the complaint said. Instead of support, some employees were met with forced transfers, sidelined from key projects, or let go altogether, it said.

The case is historic: It is the first and only time when the state of California has brought in a private law firm to help prosecute worker protection claims in a trial court, to Outten & Golden’s knowledge. The payout is the second largest employment discrimination settlement ever achieved by the state, underscoring both the severity of the allegations and the significance of the outcome.

In addition to the financial terms, Activision Blizzard pledged to take a hard look at how it treats its employees. The company committed to reviewing how it sets starting salaries, evaluates performance, and delivers training. To ensure accountability, it also agreed to work with an outside consultant who would monitor its progress.