Activision Is Paying Out $54 Million To Settle Discrimination Charges From California, Far Less Than Riot's $100 Million Settlement

It's been over 2 years since the California Civil Rights Department sued Activision Blizzard alleging gender and pay discrimination. In the subsequent two years, the company has been purchased by Microsoft and the current CEO, Bobby Kotick, is scheduled to depart the company at the end of the year.

The long drama over the suit, one which Activision Blizzard claimed had no merit, comes to an end today as the Civil Rights Department has announced they have reached a settlement with the video game developer. All that's left is for the courts to approve the settlement.

The amount, though, may surprise you.

Remember when Riot Games reached a settlement with California for $100 million over similar accusations? Activision Blizzard is getting away with paying just slightly over half of that, $54 million according to the announcement. This is separate from their $18 million settlement with the EEOC.

While this certainly isn't "chump change" and will likely help the victims out quite a bit, it's a paltry amount for Activision Blizzard when you figure Call of Duty: Warzone is estimated to pull in about $5 million per day (although game sales of the newest CoD:MW3/Warzone 2 are down compared to previous iterations.)

Slightly over $45 million of that money will go towards helping those impacted by the company's alleged behavior. The rest will go to covering litigation fees. Should there be any money left after distribution, the remaining proceeds will go to charitable organizations dedicated to advancing women in gaming and tech industries.

Activision Blizzard is also expected to continue the work it has begun on improving inclusion in hiring practices and must seek an independent consultant that will make recommendations on hiring and promotion practices with underrepresented groups.

Women who worked as employees or contract workers for Activision Blizzard in California between October 12, 2015 and December 31, 2020 may be eligible to receive compensation. If you're part of that group, just sit tight. You don't have to do anything yet. Once the settlement is approved, information will be sent to those impacted and a site will open up for additional claimants to file their own claims.