MTV and Harmonix parent company Viacom is to sell the Rock Band developer.
The company announced the news as it reported a 59 per cent third-quarter earnings drop on write-downs at the Harmonix video game operation, the Wall Street Journal reports.
The firm didn't outline its exact reasoning behind the decision to sell the studio, but the move resulted in Viacom recording a $299 million loss from discontinued operations.
Following Viacom's announcement, Cowen & Company analyst Doug Creutz said in a research note.
"We speculated several weeks ago that, given the declines in the music genre, it would make sense to (re)combine the Guitar Hero and Rock Band franchises, thus we believe Activision Blizzard is a potential buyer."
Harmonix's most recent game, Rock Band 3, was universally praised, although sales are not thought to have matched the title's critical reception.