Vivendi has announced that its Vivendi Games unit will combine with Activision to form the new company, Activision Blizzard. The merger will put Guitar Hero, Call of Duty, and Tony Hawk, Together With Vivendi Games' Crash Bandicoot, Spyro, StarCraft, Diablo and the monster World Of Warcraft under one roof.

While many of the details of the merger are still somewhat unclear, it looks like Vivendi will take a 52% ownership stake in the company and current Activision CEO Bobby Kotick will take the chief executive position. Vivendi and Activision expect the transaction, valued at $18.9 billion, to be completed by mid 2008.

This move will now make Activision Blizzard the most profitable third party games publisher. Take that EA! Expect to see Guitar Hero as a new class in World Of Warcraft by the end of year.