Game news Call of Duty: Microsoft is ready to solve the problem once and for all to ensure the takeover of Activision Blizzard!
It’s been almost a year since we talked about Microsoft’s takeover of Activision Blizzard King. It must be said that the case is complex, both in terms of the size of the transaction and the weight that this will give Microsoft in gaming. A takeover that Sony does not look favorably on, especially because of Call of Duty.
Call of Duty: when a license becomes the focal point of a DKK 70 billion takeover
Call of Duty is a huge license and the billion dollars generated in 10 days by Modern Warfare 2 only confirms this. After more than 15 years of landing on our consoles and PCs every year, the franchise is experiencing only slight decelerations when an episode goes less well and all it takes is a warm welcome and everything starts up again. For several years now, Sony is a partner of the license.
Communication about games takes place on PlayStation, some content comes early and the betas are playable on Sony consoles first. A situation that can change, since Call of Duty belongs to Activision, which Microsoft intends to buy for just under 70 billion of dollars. But this idea does not please Sony at allwho made it known through statements, press releases and meetings with market regulators, who in turn must validate or not.
Sony’s arguments, which consist of saying that Microsoft would become too powerful, and that the Call of Duty license is a significant leverage over the competitionwas rejected by Brazil and Saudi Arabia, but heard by the CMA in the UK and by the European Commission. The two regulators issued an initial negative opinion on the takeover, citing the Call of Duty case in their reports. However, this does not mean that the takeover cannot take place as these organizations are launched an in-depth study to get more elements and analyze each point in the file.
Microsoft is ready to make concessions in the long term!
With tensions surrounding the Activision Blizzard King takeover crystallized around Call of Duty, this is what Phil Spencer was asked, CEO of Microsoft Gaming. It is clear that the boss of the Xbox brand is worn out by this concern, and intends to fix it once and for all. Over the past few weeks, he has repeatedly said that the idea of stripping other platforms of the Call of Duty license was commercially absurdand that Microsoft had no not the intention to make the license exclusive.
This speech did not reassure the regulators or Sony, said Phil Spencer go into high gear. In a new interview with The Verge, the director said that was not the case “pull the rug out from under the PlayStation 7 by saying ‘hahaha we haven’t made a contract long enough’. He adds that there is no contract that runs forever, so it might have to come to that, or at least, run a contract over a very long period.
I think the idea of writing a contract that says “forever” is kind of ridiculous, but I have no problem making a long-term commitment that would be fine with Sony and the regulators. Call of Duty native on PlayStation, not linked to Game Pass, no streaming. If they want a streaming version of Call of Duty, we can do that too, just like we do on our own consoles.
I hide nothing behind my back. It’s Call of Duty Modern Warfare II, which works very well on PlayStation, which works very well on Xbox. Like the next game, the one after (etc.). (All this in) native on the platform without having to subscribe to Game Pass. Sony doesn’t need to add Game Pass to its platform for this to happen. There is nothing hidden. We want to continue offering Call of Duty on PlayStation without any surprises (…). I understand some people’s concerns about this and I’m just trying to be as clear as possible.
Microsoft also confirmed in the file filed with the regulatory authorities that it was necessary to continue offering Call of Duty on PlayStation consoles commercial for the Xbox brand’s activity, but also for the “economy of the transaction”. “Microsoft has made it clear that it is dependent on revenue from the distribution of Activision Blizzard games on Sony PlayStation”, we can read. It remains to be seen whether Sony will agree to sign an extended agreement, if the manufacturer maintains its position regardless of Microsoft’s proposal. Let’s remember that the EU will have to decide no later than 31 March 2023and that the FTC (USA) may issue its verdict in the coming weeks.