Well yes, the CEO left and people were all flustered over that, then Activision was much more heavy-handed. They let Blizzard do its thing when WoW had 15+ million subscribers and they kept churning out hits like Hearthstone and Overwatch, but HoTS failing and both Hearthstone and Overwatch fading transformed it into a what have you done for me lately type situation.
Remember, Activision is run by Bobby Kotick. He doesn’t give a shit about gaming. He could be selling tampons or windshield wipers and his approach would not differ.
That said, it’s unclear what the hell Blizzard publishes, and esports for fading titles doesn’t seem like a revenue generator, if it indeed ever was. So cutting those divisions isn’t a crazy thing to do.