Microsoft purchase of Activision Blizzard provisionally approved by UK CMA

fjtorres5591

Active member
May 16, 2023
235
58
28
Visit site
MS offered them a fig leaf to cover themseves with and they sound like they are taking the offer. Wise since they're out on a very thin limb.

Given the contracts MS had already signed (they remain in force) and the scope of Ubisoft's rights, MS won't lose anything of signifiant value, especally if they reorganize Activision studios and move them to Zenimax or XBOX gaming studios so any new or resurected IP falls outside of UBISOFT's purview.

CMA may be able to claim they "protected" consumers but the price to the UK economy is going to outweigh the political gains. The UK has been trying to portray itself as a business friendly location to attract foreign investment but the CMA just put the lie to that claim: when even protectionist China. Japan, and Brazil signed off on the deal without qualms, any future business is going to have to think twice before coming within range of their overeach.

MS can shrug the odd bilion surcharge the delay is costing them but other players can't.

One thing the flood of documents leaked out of the FTC is that the prize MS most wants from the deal is King, not COD or the other big titlds. They're nice toget, especially the fallow IPs, but King added to their dozens of android apps make MS a top mobile player overnight. Fills a big hole in their portfolio and puts them way ahead of Sony in gaming scope.

All they have to do is port the King portfolio to XBOX (maybe via an android emulator?) as Play Anywhere games...
 

NoLifeDGenerate

New member
May 7, 2023
25
5
3
www.mentallyirregular.com
Am I the only one tired of hearing about this deal for 3 years with zero benefit to the gamers? They should've told the CMA to **** off and paid the fine already. Hell, they should've just made a deal for Activisions' stuff on gamepass and been done with it. I hate that they've wasted 3 years on buying a company when their games were already getting released on Xbox.

Do something about Namco etc shitting on Xbox just because Japan doesn't buy them! I want EDF games back on Xbox. They had an exclusive one on 360, now they're literally being released on every console EXCEPT Xbox...in a time when it's never been easier to port and release games (similar architectures and discs not required). It's not that they're small devs refusing either. Even the EDF spinoff from Yukes skipped Xbox after Yukes has spent 20 years releasing multi-plats. Someone above them (D3/Namco) is flat out refusing Xbox ports.
 

fjtorres5591

Active member
May 16, 2023
235
58
28
Visit site
Am I the only one tired of hearing about this deal for 3 years with zero benefit to the gamers? They should've told the CMA to **** off and paid the fine already. Hell, they should've just made a deal for Activisions' stuff on gamepass and been done with it. I hate that they've wasted 3 years on buying a company when their games were already getting released on Xbox.

Do something about Namco etc shitting on Xbox just because Japan doesn't buy them! I want EDF games back on Xbox. They had an exclusive one on 360, now they're literally being released on every console EXCEPT Xbox...in a time when it's never been easier to port and release games (similar architectures and discs not required). It's not that they're small devs refusing either. Even the EDF spinoff from Yukes skipped Xbox after Yukes has spent 20 years releasing multi-plats. Someone above them (D3/Namco) is flat out refusing Xbox ports.
It's not that simple: as the Sony documents at the FTC trial revealed, Sony pays developers not to develop for XBOX. It's not exclusivity, just exclusionary. Also, in the japanese Keiretsu system groups of companies hold stock in each other. So it isn't a simple matter of selling x amount of games for y amount of yen, but of the bottom line in currency, stock value, and "intangibles".

Likewise, japanese companies (and chinese, which are way worse) don't measure profits solely in net revenue. Market positioning and consumer lock-in matters a lot because they bring in more money over time if less early on *and* less to competitors who won't have as much to invest further on. (That is how Sony pushed Sega out of the console hardware business.Sony wasn't outselling DREAMCAST by that much but the cashflow wasn't enough to stay in the business.)

Nadella wasn't lying when he told the court that he would rather exclusives weren't necessary in the console business but they are. What he didn't say is that is the way NINTENDO set the market up when they came west. Sony is just playing by the rules NINTENDO set up, which work fine for them when they screw up (WiiU, first three batches of PS3); their loyal fanboys were so locked into their franchises that not even lack of backwards compatibility and halfbaked hardware can get them to switch. Too late for that. Again, going back to the trial documents: even if MS wanted to play by jspanese rules and take COD away from SONY the way SONY took SPIDER-MAN away from PC, XBOX, and Nintendo, it wouldn't significantly hurt their business long term.

The wonders of lock-in.

That is why Microsoft is "changing the subject" and hitting Sony where they can't go.

Last reference: in the recent XBOX leak one undereported fact came out. The FTC tried to mske something of the fact that despite SONY selling more PS5s than MS sells XBOXes, MS makes as much money than Sony in a given quarter. Why?

1- It costs almost as much to build a diskless PS5 as a disk model but they had to price it $100 less to stay within sight of the Series S, which was designed to make a profit at $200. (Watch the prices come Black Friday).

2- Securing those third party exclusives costs money. (EA wanted $300M to make JEDI SURVIVOR XBOX exclusive.)

3- Sony has pretty much given up on developing anything but their AAA franchise exclusives while MS is encouraging their developers to get creative with new, smaller IPs like PENTIMENT and HI FI RUSH. Less cost, much lower development cost. Better profit margins. (Unlike other subscription services paid for monthly, Game Pass has little if any churn. Sony, however, seems to hsve a lot, hence their pricing structure encouraging annual lock-ins for their service.)

SONY and Nintendo are enjoying the fruits of playing the long game for 30 years. But now MS is playing a longer one. And betting $69B on it.

Things are going to get fun.
 
Last edited:

Members online

No members online now.

Forum statistics

Threads
323,628
Messages
2,244,107
Members
428,092
Latest member
raymowen