In a surprising revelation, Bobby Kotick, the founder of Activision, recently disclosed an intriguing chapter in gaming history: Berkshire Hathaway’s interest in acquiring Nintendo. During his appearance on the Grit podcast, Kotick recounted how legendary investor Charlie Munger considered Nintendo as a potential acquisition while navigating the sale of Activision.
“He goes, ‘You know, I was looking at a couple other companies in your sector. I think if we bought yours, we should buy that company Nintendo, too’” Kotick explained. At the time, Nintendo was trading at around 13 billion with a staggering 7 billion in cash. Munger, however, had reservations about the gaming industry, viewing it as distanced from traditional investments and even likening it to gambling.
Despite the allure of Nintendo’s market presence, the deal never materialized. Kotick went on to elaborate that Munger believed the gaming business was “preying off people’s addictions.” In a heartfelt defense, Kotick responded, “I’m actually giving them joy and fun.” This clash of perspectives revealed the complexities surrounding the gaming industry and its perception among traditional investors.
Munger’s passing in 2023 at the age of 99 marked the end of an era for Berkshire Hathaway, which has since steered clear of video game investments. Activision eventually merged with Vivendi, leading to its acquisition by Microsoft, a move that reshaped the gaming landscape.
This anecdote not only highlights the ever-evolving dynamics of the gaming industry but also underscores the high regard in which Nintendo is held, even from those outside the gaming sphere. Would a Berkshire Hathaway acquisition have changed the course of gaming history? It’s a question that sparks curiosity and conversation among enthusiasts and investors alike.
What are your thoughts on this unexpected revelation? Share your insights in the comments below!