Gaming

Microsoft buys Activision. Will Call of Duty disappear from PlayStation?

One of the most expensive tech acquisitions was completed by Microsoft on Friday when it bought video game maker Activision Blizzard for $69 billion. The deal negotiations that went on for nearly two years could have consequences across the gaming industry.

Microsoft is currently at the third position behind Sony’s PlayStation and Nintendo. With this deal under its belt, Microsoft gets access to games like Call of Duty, Diablo, and Overwatch which could give the company a big boost.

According to a report by the Associated Press, Microsoft also plans to bring Activision games into its multi-game subscription service that works something like Netflix for video games.

The deal has evoked serious concerns in the global video game industry, including that Microsoft could use its growing collection of games to stifle competition

The deal is yet to go through the US Federal Trade Commission (FTC).

“The FTC continues to believe this deal is a threat to competition,” said FTC spokesperson Victoria Graham on Friday, as per the report.

However, Microsoft has defended its stance by saying that the deal is good for gaming as its goal was to take Activision games to more people on more platforms.

The company has insisted that it does not aim to deprive those games of rival console-makers.

“Whether you play on Xbox, PlayStation, Nintendo, PC or mobile, you are welcome here – and will remain welcome, even if Xbox isn’t where you play your favorite franchise,” said a statement Friday from Phil Spencer, CEO of Microsoft’s Xbox division.

In the last one and a half years since the deal was announced in January 2022, Microsoft has received approvals from antitrust authorities in more than 40 countries.

It even got approval from the 27-nation European Union after agreeing to allow users and cloud gaming platforms to stream its titles without paying royalties for 10 years.

In an effort to bring more gamers to Xbox, Microsoft has been buying gaming studios in recent years. Last year, it acquired Zenimax Media for $7.5 billion. Zenimax Media is the parent company of video game publisher Bethesda Softworks, maker of Elder Scrolls, Fallout, and the recently-released Starfield.

One of the most popular games in its line-up, Minecraft, came to Microsoft through its acquisition of Swedish developer Mojang in 2014 for $2.5 billion.

Tecktrackr Editorial

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