The Competition and Markets Authority (CMA) of the UK is concerned by Microsoft's acquisition of Activision Blizzard. While the announcement of the purchase was made in January, the deal hasn't been allowed to finalize, as various regulators voice their objections and worries about monopolization in the gaming industry. Currently, the CMA rejected the Microsoft-Activision buyout, and the process has progressed to a "second phase" of investigation. While this is ongoing, Microsoft is defending its decision by making a claim that PlayStation would not be put at risk by the purchase.

The CMA is concerned that having full control over this powerful catalogue, especially in light of Microsoft's already strong position in gaming consoles, operating systems, and cloud infrastructure, could result in Microsoft harming consumers by impairing Sony's – Microsoft's closest gaming rival – ability to compete as well as that of other existing rivals and potential new entrants who could otherwise bring healthy competition through innovative multi-game subscriptions and cloud gaming services.

The CMA believes that PlayStation would be put "at risk" by Microsoft owning the Call of Duty, Overwatch, and Crash Bandicoot publisher, but Microsoft says otherwise, to the point of stating that even if every single Call of Duty player on PlayStation consoles "defected" to the Xbox platform, PlayStation's userbase would still be "significantly" larger. However, Microsoft did not share any proof of its claim, but simply said that PlayStation has a 150-million-strong player base, while Xbox has an install base of about 64 million. They also mentioned that PlayStation has a definitive stranglehold on the market, because they have the ability to raise prices on their hardware, while still remaining competitive with Xbox.

Despite Microsoft's claims that they won't make Call of Duty, or any of Activision's franchises Xbox exclusives, at least for the time being, the CMA says that there's no evidence that Microsoft wouldn't backpedal on that decision, and that they have a history of doing that exact thing in the past. For now, the investigation will continue until its final report, which will take place in March 2023.

Source

 

[Foxi4]

If Sony wants COD on their console, they need to propose a compelling offer. They can’t cry crocodile tears over sour grapes - Microsoft owns the franchise. I don’t think this requires any kind of intervention - Sony can just as easily pull the plug on Destiny support for Xbox. Both companies are playing the “buy all the studios” game and this was a predictable result. Microsoft is likely to play ball of Sony does.

 

[nikeymikey]

I'll take it off your hands free of charge!

No way, that puppy will stay packed up until there's a fully mature jailbreak

The force is strong with the MS fanboys, they will defend every MS decision good or bad and they will always buy an Xbox even if it was released as an actual turd with a Xbox logo on it.

Btw your comments make you sound ever so much like a MS fanboy.... Just saying....

Imitation is the finest form of flattery

I have stated previously that I have both next gen systems along with MANY other Playstation and Xbox consoles so no fanboy-ism from me

 

[Obveron]

In the context of this merger and Sony's merit of their argument against, only publishing side of the business is relevant. Microsoft's software or cloud sectors are just as irrelevant as Sonys TVs.
Sony is the biggest game publisher in the world, and they have much more studios than Microsoft. In terms of global publishing reach outside North America and Western Europe - Sony, Tencent and Nintendo dominate and Microsoft hardly penetrates those markets. Even when you include North America, Microsoft games publishing is smaller than Sony, Tencent, and Nintendo. With the merger Microsoft would remain a smaller publisher than Sony and Tencent. Despite that, Sony makes new acquisitions each year without challenge.

I'm not making these points because I want more mergers. I ofcourse prefer smaller publishing houses and independent studios. I'm just tired of hearing Sony complain like they're David and Microsoft is Goliath.

 

[subcon959]

In the context of this merger and Sony's merit of their argument against, only publishing side of the business is relevant. Microsoft's software or cloud sectors are just as irrelevant as Sonys TVs.
Sony is the biggest game publisher in the world, and they have much more studios than Microsoft. In terms of global publishing reach outside North America and Western Europe - Sony, Tencent and Nintendo dominate and Microsoft hardly penetrates those markets. Even when you include North America, Microsoft games publishing is smaller than Sony, Tencent, and Nintendo. With the merger Microsoft would remain a smaller publisher than Sony and Tencent. Despite that, Sony makes new acquisitions each year without challenge.

I'm not making these points because I want more mergers. I ofcourse prefer smaller publishing houses and independent studios. I'm just tired of hearing Sony complain like they're David and Microsoft is Goliath.

The article is about Microsoft's claim regarding the CMA's current rejection of the merger. There's no mention of Sony complaining.

 

[Obveron]

The article is about Microsoft's claim regarding the CMA's current rejection of the merger. There's no mention of Sony complaining.

Oh right you are. I've read so much lately about Sony's objections and their public statements that were clearly meant to persuade regulating agencies to scrutinize the merger. but you're right, Sony's comments aren't directly cited in this article, my bad.