It’s Official: Minecraft Game Joins Microsoft for $2.5 Billion

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Microsoft Corp. confirmed on Monday that it had agreed to buy Mojang, the company behind the popular “Minecraft” video game, for $2.5 billion. The acquisition, which is expected to close later this year, could help bolster Microsoft’s Xbox and mobile businesses.

Minecraft, which allows users to build digital worlds out of Lego-like blocks, attracts fans of all ages across the world. The game has sold over 50 million copies and generated over $100 million in profit since its launch in 2009.

A statement from Mojang on Monday said the decision to join Microsoft came from Minecraft creator Markus Persson.

“Minecraft has grown from a simple game to a project of monumental significance,” Mojang said. “While we are extremely proud of what Minecraft has become, it has never been [Mr. Persson’s] intention for it to get that big. … He decided he didn’t want the responsibility of owning a company of such global significance.

For Microsoft, it will be the biggest deal since Satya Nadella took over as the company’s CEO in February. And Daniel Ives, an analyst at FBR Capital Markets & Co, explained why this is a good business move for the tech giant:

“The acquisition of the Minecraft game through the acquisition of Mojang gives Mr. Nadella & Co. the right product at the right time as the company continues to invest in its Xbox strategy and begins its foray into the fiercely competitive space of mobile with Nokia now under the Microsoft hood and the ongoing restructuring plan,” Ives said.

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