Vivendiis set to take control of Activision of the US through an alliance that would create the world's biggest video games publisher and bring the hit titles World of Warcraft , Guitar Hero and Call of Duty under one corporate roof.

The French group, whose activities span recorded music, pay-TV and mobile telephony, yesterday said it planned to merge its Vivendi Games unit with Activision, a Nasdaq-listed pioneer of computer games. It would then seek to raise its stake in Activision to a maximum of about 68 per cent.