We would like to bring a deal to BC approval for Activision King Blizzard (ABK), one of the most important game publishers in the world, and already a key partner across YT and Play (and hopefully Cloud). This is our first deal where we do not have a single PA signed up to fund the entire deal. I think we need to do this deal - too important for Play and Cloud to let it go. At its core, this deal is about a large Cloud deal as well as solidifying our Play relationship with ABK. Recently Play has had a rocky relationship with gaming companies that have Tencent as an investor (EPIC is publicly challenging our ability to charge for access to Play, and Supercell has refused to sign up to Project Hug). Without this deal, ABK claims they will launch their own mobile distribution platform, double down with Amazon/Twitch for Cloud/Esports, and pull away from Stadia/Ads. What Google gets: Continued Play partnership at current rev share; $230M Cloud commitment over 3–4 years; $345M in ads commitment over 3 years; exclusive Esports distribution license for YouTube. What Google gives per year: GCP credits equal to 2% of Play consumer spend; UAC Matching credits capped at $35M/year; Co-marketing funds capped at $20M/year; $45M Esports Licensing. Estimated total Google investment: $360M over three years. BC asks: extend UAC Matching Credits and Co-marketing for 2 additional years; approve $135M total Esports Licensing fees. Post BC review, Sundar to call Bobby on Thursday Dec 19th with our final offer.