While the rollercoaster ride for Microsoft continues as it tries to purchase Activision-Blizzard Xbox boss Phil Spencer wants to assure everyone that even if the deal doesn’t go through it’s not the end of the world for Xbox. Phil Spencer says the console will continue to exist even without the deal and the deal is mainly about strengthening Microsoft’s mobile gaming division and not about console exclusivity.
From Phil Spencer (via The Times)
“That’s the strategic angle for us. There was nothing about ‘Call of Duty on PlayStation’ or ‘Call of Duty not on PlayStation’.”
“This is an important acquisition for us. It’s not some linchpin to the long term — Xbox will exist if this deal doesn’t go through,” added Spencer.
The preceding quotes were given last week and published on February 25 but now it appears there could be hope on the horizon for Microsoft after all. According to anonymous sources, the EU could approve the deal on April 25. It seems the concession licensing deals that Microsoft recently offered may be enough to win over the commission.
From Reuters
“BRUSSELS, March 2 (Reuters) – Microsoft Corp (MSFT.O) is expected to secure EU antitrust approval for its $69 billion acquisition of Activision (ATVI.O) with its offer of licensing deals to rivals, three people familiar with the matter said, helping it to clear a major hurdle.”
A key sticking point for the deal has been title exclusivity, primarily the Call of Duty franchise, which Sony has voiced concerns over. Microsoft, presumably in an effort to strengthen its own case, recently won access from the FTC to details regarding Sony’s own third-party exclusive deals. Phil Spencer has previously said that COD would still remain available to Sony but Sony’s Jim Ryan countered that statement by saying that would only be true until the current contract expires. Meanwhile, Spencer adds that the deal would only serve to encourage more competition among console makers just as Microsoft recently signed a 10-year agreement to bring Xbox Games to Nintendo and NVIDIA GeForce Now.
“Because to me, having us, Sony, and Nintendo doing well in the console market — all of us with strengths and uniqueness and content and capabilities — gives consumers more choice. I’d hate to see consoles go to where phones are where there are only two manufacturers. And, right now, we have three good competitors.“
There are still many hurdles to get through, even if the EU approves the acquisition, and it is expected that more changes to the deal could be required before it is allowed to proceed.
Discussion (7 replies)
Join Discussion →I was about to call bullshit, but then I looked it up:
[URL unfurl="true"]https://www.pcgamer.com/activision-blizzard-earned-more-on-mobile-games-last-quarter-than-pc-and-consoles-combined/[/URL]
Yeah, Call of Duty is big, but Mobile is bigger.
??
Buying blizzard is just the lazy way. They could massively invest and do their own studios and projects.
What is activision even doing on mobile that generates revenue? I can't think of a single thing. Is there some trash mobile cod?
Candy crush among others, it's the king games division https://en.wikipedia.org/wiki/King_(company)
Here are the activision titles:
https://app.sensortower.com/ios/publisher/activision-publishing-inc/285005466
Yep just googled it King was purchased by Activision in 2016. Interesting.
Oooo that's an interesting site. It's odd how it segregates between iOS and Android though for a publisher.
So here's the Android one:
[URL unfurl="true"]https://app.sensortower.com/android/publisher/publisher/Activision%2BPublishing%2C%2BInc.[/URL]
And King is listed separately:
[URL unfurl="true"]https://app.sensortower.com/ios/publisher/publisher/526656015[/URL]
[URL unfurl="true"]https://app.sensortower.com/android/publisher/publisher/King[/URL]
And Blizzard:
[URL unfurl="true"]https://app.sensortower.com/ios/publisher/publisher/306862900[/URL]
[URL unfurl="true"]https://app.sensortower.com/android/publisher/publisher/Blizzard%2BEntertainment%2C%2BInc.[/URL]
2 takeaways:
Holy crap is Candy Crush still huge? And how?
And iOS still pulls in more money than Android. Given the install base that's nearly 3:1 in favor of Android, that's amazing that Apple users are just more likely to spend -- maybe because the barrier to entry is higher and the people over there are just more affluent in general?