The Games Industry Has a Problem

There’s no nice way to put this: Activision Blizzard has a giant f’ing problem. 

The California Department of Fair Employment and Housing filed suit against the gaming giant last week. ⚖️ The lawsuit responds to reports that the company has allowed rampant sexual harassment and a “frat boy culture’ to run unchecked.

Among other charges, the suit alleges that women have been passed over for promotions and received lower starting pay for “substantially similar work.”

In support of the suit, hundreds of employees staged a walkout to make their grievances known—streamers and esports teams went dark in solidarity with the picket line.

In a letter published last night, Activision Blizzard CEO Bobby Kotick committed to “long-lasting change” by offering employee support, modified hiring practices, manager evaluations, and removal ofinappropriate content from games and player communities. 

Sound familiar? That’s because it is. Earlier this month, Ubisoft was beat down for allegations of sexual misconduct. It goes without saying that the gaming industry is still grappling with a vast cultural reckoning. 

This case could likely end in a multi-billion-dollar settlement. But more importantly, it stands to bring lasting changes to the games industry. Among potential changes are more ‘lax employee contracts, the publication of salary data, and implementation of diversity and representation policies.

$ATVI is down 11.29% this month.

PayPal Pops Ahead Of Key Event

It’s been a rough few years for payment giant PayPal, with shares falling 85% peak-to-trough. Recently, the stock has begun to rebound with other beaten-down tech names but remains about 80% below all-time highs. In other words, it would need to nearly 5x its share price to reach those levels again. 📈

While that may seem a ways off, investors have recently pushed shares to their best three-day run since the end of 2022. That’s because the company promised to roll out new “customer-backed innovation” at an event next Thursday, with its new CEO Alex Chriss saying, “It is very clear what we need to do.”

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Biotech Buyout Spree Continues

It may be the last week of the year, but many companies are rushing to get deals done before year-end. Two significant transactions in the biotech space were announced today, so let’s dive in. 👇

The first deal involves RayzeBio, which raised $358 million via an initial public offering (IPO) just three months ago. However, its time as a public company is being cut short by Bristol Myers Squibb, which is acquiring the radiopharmaceutical therapeutics company for $62.50 per share in cash. 💰

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Boeing Loses Altitude (Again)

If you’re an investor in airlines or airplane manufacturers, this is not the type of headline you want to wake up to. Unfortunately for Boeing and several others, the news is not great. So let’s dig into it. 👇

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Pfizer’s Flop Continues

It’s been a rough ride for pharmaceutical giant Pfizer since the end of the pandemic, and that rollercoaster ride continues today. 🎢

The company last announced earnings in October but needed to update Wall Street on its 2024 forecast. It cited weak demand for its Covid products as the reason for a weaker-than-anticipated revenue and earnings forecast.

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