Activision Blizzard Inc. said an executive named in a gender-bias lawsuit filed by California regulators is leaving the videogame publisher.
J. Allen Brack is stepping down from his role as president of Blizzard Entertainment, the unit behind hit franchises such as World of Warcraft and Overwatch, the company said Tuesday. Two company veterans, Jen Oneal and Mike Ybarra, were named co-leaders of the unit, which it acquired in 2008. Ms. Oneal is Activision’s first female business unit head.
“It became clear to J. Allen Brack and Activision Blizzard leadership that Blizzard Entertainment needs a new direction and leadership given the critical work ahead in terms of workplace culture, game development, and innovation,” the company said.
Mr. Brack didn’t respond to a request for comment. In a statement on Blizzard’s website, Mr. Brack said he is confident in his replacements’ ability to lead “with the highest levels of integrity and commitment to the components of our culture that make Blizzard so special.”
Activision is trying to stabilize its business as it faces the California Department of Fair Employment and Housing lawsuit as well as employees’ calls to improve the culture. The company warned shareholders that the lawsuit, which it has pledged to fight, could hurt its bottom line. Shares of Activision are down about 13% since the suit was filed through Tuesday’s close.