The shareholders’ group has called for the immediate dismissal of Activision Blizzard CEO Bobby Kotick. In a threatening letter to the company’s board, SOC Investment Group asked the agency to find Kotick’s “rightful replacement” and two other AB employees immediately.
What does SOC want from Activision Blizzard?
This letter is about the ongoing storm lawsuits and cases currently launching Activision Blizzard. In the letter, the SOC criticized the Activision Blizzard team for being “almost silent” for not responding to Kotick’s recent developments. The group says it wants Kotick, as well as chairman Brian Kelly and independent leader Robert Morgado, to “announce his retirement” on December 31 or earlier this year. The signature includes the company’s SOC company manager and director, as well as executives from other investment companies such as Verve Super and NEI Investments. You can read the whole letter Pano.
In addition to the resignation of the three men, the SOC wants a number of changes within the Activision Blizzard. The group says it wants an independent review of the board’s “policies and management systems”, as well as systematic changes to include full review by a “permanent management expert”. The SOC also demands that there be a “non-senior” position nominated by AB staff as elected at next year’s annual general meeting. Finally, the letter states that the period of “fear and silence” has passed, and the organization should read for itself or stop.
What will be the effect of this letter?
Unfortunately, this letter does not change much. Activision Blizzard management board has already said will stand next to Kotick despite recent revelations by the Wall Street Journal. In addition, the SOC represents only 0.6% of all Activision Blizzard shares, and the group has been criticizing Kotick for a long time now. In his mission statement, SOC describes itself as an organization that wants to have corporate leadership that is responsible for doing the wrong thing, so the organization is not unexpected. There’s a small chance this could be part of a larger team to remove Kotick’s leadership and Activision Blizzard, but in itself, this letter probably won’t have much impact.
If you are not in a hurry about Activision Blizzard, here is a brief summary. Back in July this year, the California department of Fair Education and Housing prosecuted Activision Blizzard, refers to the toxic nature of the workplace in which women are constantly harassed, ridiculed, and abused. Several lawsuits and complaints were followed from shareholders and corporations, which led to a lawsuit departure from the head of Blizzard J. Allen Brack, among others. Along the way, Activision Blizzard always made a noise about establishing integrated workplaces and emphasizing diversity and inclusion in recruitment processes.
All the while, CEO of Activision Blizzard Bobby Kotick said he was unaware of the atrocities taking place. However, yesterday Explosive objections appeared says Kotick not only knew about the allegations but remained silent and threatened to kill a female employee after complaining to her, prompting her staff to leave. Obviously, this contradicts many of the things that Kotick has said in the past (and he goes on to say, if rather rudely recent words on the Activision Blizzard page and whatever you can pass). We will bring you more on this as we find it.