Founding (1991–1994) Blizzard Entertainment was founded by
Michael Morhaime, Allen Adham, and Frank Pearce as Silicon & Synapse in February 1991, after all three had earned their
bachelor's degrees from the
University of California, Los Angeles the year prior. To fund the company, each of them contributed about $10,000, Morhaime borrowing the sum interest-free from his grandmother. Their offices were established in a business park near the
University of California, Irvine in
Irvine, California. During the first two years, the company focused on creating game
ports for other studios.
Interplay Productions'
Brian Fargo was friends with Adham and had a 10% stake in Silicon & Synapse. Fargo provided the company with conversion contacts for the games Interplay was publishing, starting with
Battle Chess. Other titles included Ports include titles such as ''
J.R.R. Tolkien's The Lord of the Rings, Vol. I and Battle Chess II: Chinese Chess
. Fargo then enlisted Silicon & Synapse around 1991 to help develop RPM Racing'' that Interplay was preparing for the launch of the
Super Nintendo Entertainment System. Fargo remained impressed with Silicon & Synapse's work, and provided them the ability to write their own games to be published by Interplay. The first two titles developed solely by the company were ''
Rock n' Roll Racing, a sequel to RPM Racing
, and The Lost Vikings inspired by Lemmings''. Near this same time, the company started to explore options in publishing their own games, as their conversion contracts were not as lucrative for the company. Inspired by the multiplayer aspects of
Westwood Studios'
Dune II and the
high fantasy setting of
The Lord of the Rings, the company began work on what would become
Warcraft: Orcs & Humans. Adham saw this as a start of a series of interconnected titles, similar to the
Gold Box series by
Strategic Simulations. To support its development and keep the company afloat, the studio took several more conversion contracts, though the founders were going into debt to keep their twelve developers employed. Adham and Morhaime accepted the offer in early 1994. Shortly after the sale, it was contacted by a Florida company, Chaos Technologies, who claimed its trademark rights on the name "Chaos" and wanted the company to pay () to keep the name. Not wanting to pay that sum, the executives decided to change the studio's name to "Ogre Studios" by April 1994.
Warcraft was released in November 1994, and within a year, helped to establish Blizzard among other development studios like Westwood. Blizzard, at this point numbering about 200 employees, became part of the
Vivendi Games group of Vivendi. In 1996, Blizzard Entertainment acquired Condor Games of
San Mateo, California, which had been working on the
action role-playing game (ARPG)
Diablo for Blizzard at the time, and was led by
David Brevik and brothers Max and Erick Schaefer. Condor was renamed
Blizzard North, with Blizzard's existing Irvine studios colloquially referred as Blizzard South.
Diablo was released at the very start of 1997 alongside
Battle.net, a matchmaking service for the game. Blizzard North developed the sequel
Diablo II (2000), and its expansion pack
Lord of Destruction (2001). Following the success of
Warcraft II: Tides of Darkness, Blizzard began development on a science fiction-themed RTS,
StarCraft, and released the title in March 1998. The title was the top-selling PC game for the year, and led to further growth of the Battle.net service and the use of the game for
esports. Blizzard started to work on a sequel to the
Warcraft II in early 1998, which was announced as a "role-playing strategy" game.
Warcraft III: Reign of Chaos, the third title set in the
Warcraft fictional universe, was released in July 2002.
Warcraft III has inspired many future games, having the influence on
real-time strategy and
multiplayer online battle arena genre. Many of the characters, locations and concepts introduced in
Warcraft III and
its expansion went on to play major roles in numerous future Blizzard's titles. In 2002, Blizzard was able to reacquire rights for three of its earlier Silicon & Synapse titles,
The Lost Vikings, ''
Rock n' Roll Racing and Blackthorne'', from
Interplay Entertainment and re-release them for the
Game Boy Advance handheld console. Around 2003, Blizzard North was working on
Diablo III as well as planned science-fiction-based version dubbed
Starblo. Amid rumors that Vivendi was looking to sell its gaming division around 2003, Blizzard North's leadership, consisting of Brevik, the Schaefers, and
Bill Roper, asked Blizzard to provide their studio protections from the potential sale, or else they would resign. After several rounds of tense communications, the four gave their resignations to Blizzard's management on June 30, 2003. As part of this, a significant portion of Blizzard North's staff were laid off, additional work on
Starblo was terminated and the remaining team focused on
Diablo III. Blizzard's management made the decision August 2005 to
consolidate Blizzard North into Blizzard Entertainment, relocating staff to the main Blizzard offices in Irvine. By December 2004, the game was the fastest-selling PC game in the United States, and by March 2005, had reached 1.5 million subscribers worldwide. Blizzard partnered with Chinese publisher
The9 to publish and distribute
World of Warcraft in China, as foreign companies could not directly publish into the country themselves.
World of Warcraft launched in China in June 2005. By the end of 2007,
World of Warcraft was considered a global phenomenon, having reached over 9 million subscribers In April 2008,
World of Warcraft was estimated to hold 62 percent of the MMORPG subscription market. With the success of
World of Warcraft, Blizzard Entertainment organized the first
BlizzCon fan convention in October 2005 held at the
Anaheim Convention Center. The inaugural event drew about 6,000 people and became an annual event which Blizzard uses to announce new games, expansions, and content for its properties. Blizzard's new base was completed by March 2008; the city named the primary street on this campus as 1 Blizzard Way to honor the company. The campus includes a twelve-foot tall bronze statue of a
Warcraft orc riding a wolf, with plaques surrounding it representing the eight company values by that point, "Gameplay First", "Commit to Quality", "Play Nice; Play Fair", "Embrace Your Inner Geek", "Learn & Grow", "Every Voice Matters", "Think Globally", and "Lead Responsibly". Blizzard established a distribution agreement with the Chinese company
NetEase in August 2008 to publish Blizzard's games in China. The deal focused on
StarCraft II which was gaining popularity as an
esport within southeast Asia, as well as for other Blizzard games with the exception of
World of Warcraft, still being handled by The9. The two companies established the Shanghai EaseNet Network Technology for managing the games within China. Blizzard and The9 prepared to launch the
World of Warcraft expansion
Wrath of the Lich King, but the expansion came under scrutiny by China's content regulation board, the
General Administration of Press and Publication, which rejected publication of it within China in March 2009, even with preliminary modifications made by The9 to clear it. Rumors of Blizzard's dissatisfaction with The9 from this and other previous complications with
World of Warcraft came to a head when, in April 2009, Blizzard announced it was terminating its contract with The9, and transferred operation of
World of Warcraft in China to NetEase. They released an improved version of
Battle.net (Battle.net 2.0) in March 2009 which included improved matchmaking, storefront features, and better support for all of Blizzard's existing titles particularly
World of Warcraft. Having peaked at 12 million monthly subscriptions in 2010,
World of Warcraft subscriptions sunk to 6.8 million in 2014, the lowest number since the end of 2006, prior to
The Burning Crusade expansion. However,
World of Warcraft is still the world's most-subscribed MMORPG, and holds the
Guinness World Record for the most popular MMORPG by subscribers. In 2008, Blizzard was honored at the 59th Annual
Technology & Engineering Emmy Awards for the creation of
World of Warcraft.
Mike Morhaime accepted the award. Following the merger, Blizzard found it was relying on its well-established properties, but at the same time, the industry was experiencing a shift towards
indie games. Blizzard established a few small teams within the company to work on developing new concepts based on the indie development approach that it could potentially use. One of these teams quickly came onto the idea of a
collectible card game based on the
Warcraft narrative universe, which ultimately became
Hearthstone, released as a free-to-play title in March 2014.
Hearthstone reached over 25 million players by the end of 2014, and exceeded 100 million players by 2018. Another small internal team began work around 2008 on a new intellectual property known as
Titan, a more contemporary or near-future MMORPG that would have co-existed alongside
World of Warcraft. The project gained more visibility in 2010 as a result of some information leaks. Blizzard continued to speak on
Titans development over the next few years, with over 100 people within Blizzard working on the project. However,
Titans development was troubled, and, internally, in May 2013, Blizzard cancelled the project (publicly reporting this in 2014), and reassigned most of the staff but left about 40 people, led by
Jeff Kaplan, to either come up with a fresh idea within a few weeks or have their team reassigned to Blizzard's other departments. The small team came upon the idea of a team-based multiplayer shooter game, reusing many of the assets from
Titan but set in a new near-future narrative. The new project was greenlit by Blizzard and became known as
Overwatch, which was released in May 2016.
Overwatch became the fourth main intellectual property of Blizzard, following
Warcraft,
StarCraft, and
Diablo. In addition to
Hearthstone and
Overwatch, Blizzard Entertainment continued to produce sequels and expansions to its established properties during this period, including
StarCraft II: Wings of Liberty (2010) and
Diablo III (2012). Their
major crossover title,
Heroes of the Storm, was released as a
MOBA game in 2015. The game featured various characters from Blizzard's franchises as playable heroes, as well as different battlegrounds based on
Warcraft,
Diablo,
StarCraft, and
Overwatch universes. In the late 2010s, Blizzard released
StarCraft: Remastered (2017) and
Warcraft III: Reforged (2020)
, remastered versions of the original
StarCraft and
Warcraft III, respectively
. The May 2016 release of
Overwatch was highly successful, and was the highest-selling game on PC for 2016. Several traditional
esport events had been established within the year of
Overwatch release, such as the
Overwatch World Cup, but Blizzard continued to expand this and announced the first esports professional league, the
Overwatch League at the 2016 BlizzCon event. The company purchased a studio at
The Burbank Studios in
Burbank, California, that it converted into a dedicated esports venue, Blizzard Arena, to be used for the Overwatch League and other events. The inaugural season of the Overwatch League launched on January 10, 2018, with 12 global teams playing. By the second season in 2019 it had expanded the League to 20 teams, and with its third season in 2020, it will have these teams traveling across the globe in a transitional home/away-style format. In 2012, Blizzard Entertainment had 4,700 employees, with offices across 11 cities including
Austin, Texas, and countries around the globe. , the company's headquarters in Irvine, California had 2,622 employees.
Change of leadership (2018–2022) By 2018, a rift had developed between Kotick and Morhaime on how Blizzard should continue developing its games, with Morhaime wanting to allow the developers the freedom to experiment while Kotick was focused on generating profit. Morhaime had considered resigning in 2017 but Kotick convinced him to stay on. Morhaime announced his plans to step down as the company president and CEO On October 3, 2018, while remaining an advisor to the company. Morhaime stated publicly that he felt it was time for someone else to lead Blizzard, but those close to him said he had become tired of the conflicts with Kotick. Morhaime formally left on April 7, 2019, and was replaced by J. Allen Brack, the executive producer on
World of Warcraft. In February 2019, Kotick announced a company-wide layoff of 8% of Activision Blizzard staff, around 800 total positions, due to lower revenues in 2018; this included a significant portion of Blizzard Entertainment, which had rising head count over the years. Blizzard was planning for the announcement of
Diablo IV and
Overwatch 2 at the 2019 Blizzcon, and to keep the company focused, two other projects, codenamed
Ares and
Orion, were cancelled. Michael Chu, lead writer on many of Blizzard's franchises including
Diablo,
Warcraft, and
Overwatch, announced he was leaving the company after 20 years in March 2020. On January 22, 2021,
Activision transferred
Vicarious Visions over to Blizzard Entertainment, stating that the Vicarious Visions team had better opportunity for long-term support for Blizzard. Vicarious had been working with Blizzard for about two years prior to this announcement on the planned
remaster of
Diablo II,
Diablo II: Resurrected, and according to Brack, it made sense to incorporate Vicarious into Blizzard for ongoing support of the game and for other
Diablo games including
Diablo IV. Vicarious was completely merged into Blizzard by April 12, 2022, thereby being renamed Blizzard Albany. In celebration of the company's 30th anniversary, Blizzard Entertainment released a compilation called
Blizzard Arcade Collection in February 2021, for various video game platforms. The collection includes its three classic video games:
The Lost Vikings, ''
Rock n' Roll Racing,
and Blackthorne,'' each of which containing additional upgrades and numerous modern features. The lawsuit drew a large response from employees and groups outside of Activision Blizzard. In the wake of these events, Brack, one of the few individuals directly named in the suit, announced he was leaving Blizzard to "pursue new opportunities", and will be replaced by co-leads Jen Oneal, the lead of Vicarious Visions and the first woman in a leadership role for the company, and Mike Ybarra, a Blizzard executive vice president. Oneal announced in November 2021 that she would be leaving the company by the end of 2021, leaving Ybarra as the sole leader of Blizzard. As a result of the California lawsuit and of delays and release issues with its more recent games, Activision Blizzard's stock faced severe pressure. Subsequently,
Microsoft seized the opportunity to become one of the largest video game companies in the world and announced its intent to acquire Activision Blizzard and its subsidiaries, including Blizzard, for in January 2022. This exchange marks the largest acquisition in tech history, surpassing the $67 billion
Dell-EMC merger from 2016. The deal closed on October 13, 2023, and Activision Blizzard moved into the
Microsoft Gaming division. Blizzard acquired
Proletariat, the developers of
Spellbreak, in June 2022 as to help support
World of Warcraft. The 100-employee studio remained in Boston but will shutter
Spellbreak as it moves onto
Warcraft.
Challenges with NetEase and Microsoft acquisition (2022–present) Ahead of its license renewal in January 2023, Blizzard (via Activision Blizzard) and NetEase stated in November 2022 that it had been unable to come to an agreement on the renewal terms for its license, and thus most Blizzard games will cease operations in China in January 2023 until the situation can be resolved. According to a report by
The New York Times, several factors influenced Activision Blizzard's decision to terminate the agreement, which included stronger demands made by the Chinese government to know of Activision Blizzard's internal business matters, NetEase's desire to license the games directly rather than run the license through a joint venture, and Activision Blizzard's concerns that NetEase was trying to start its own ventures, including the payment towards Bungie in 2018. NetEase was further concerned about the impact of the pending acquisition of Activision Blizzard by
Microsoft. Activision Blizzard stated it was looking to other Chinese firms as replacements for NetEase as to restore its games in China. By April 2024, Blizzard, with Microsoft's help, and
NetEase had agreed to new publishing terms, with plans to bring back Blizzard's games to China by mid-2024, maintaining all prior game ownership from the original publishing deal. Under this new deal, NetEase also will be able to bring games to the Xbox platform. Following completion of the acquisition, Microsoft announced it was laying off 1,900 staff from
Microsoft Gaming on January 25, 2024. Alongside this, Blizzard President Mike Ybarra and Chief Design Officer Allen Adham announced they would be leaving the company. Further, the planned survival game from Blizzard was canceled. On January 29, 2024, Johanna Faries, the former general manager of the
Call of Duty series, was named Blizzard Entertainment's new president, taking office on February 5. Following the
unionization success of
Raven Software's
Game Workers Alliance (GWA) union for
quality assurance (QA) testers, the 20-member QA team of
Blizzard Albany announced a unionization drive in July 2022 as GWA Albany. The vote passed (14–0). On July 24, 2024, 500 artists, designers, engineers, producers, and quality assurance testers who work on
World of Warcraft voted to unionize under the
Communications Workers of America. The same day, 60 QA testers at Blizzard's Austin office, who work on various games including
Diablo IV and
Hearthstone, also voted to unionize and formed the union "Texas Blizzard QA United-CWA." The following year, in May 2025, the members of Blizzard Team 4, who work on the game
Overwatch 2, also unionized with the Communications Workers of America, with nearly 200 game developers forming the wall-to-wall union "Overwatch Gamemakers Guild-CWA." In August 2025, Blizzard's Story and Franchise Development team announced it has unionized with the CWA. Later that month, 450 Diablo designers, engineers, artists, and support staff unionized across
Irvine, California,
Albany, New York, and
Austin, Texas. == Games ==