Microsoft has completed its long-awaited acquisition of Activision Blizzard for $69 billion (£56 billion).
That’s a lot of money, but what does this mean for the next time someone purchases a video game?
Will Call of Duty continue to be available on PlayStation?
This is the most common query asked by fans.
Call of Duty is one of the most popular video game franchises of all time, trailing only Mario, Tetris, and Pokemon in terms of sales.
The positive news for Sony fans is that it won’t be possible for the game to be exclusive to Xbox until 2038.
Ubisoft has inked a 15-year contract granting it “cloud gaming” rights for all past and future Activision Blizzard titles.
Microsoft had to consent to this in order for UK regulators, who were concerned about the company’s dominance in the cloud industry, to approve the deal.
In case you’re unaware, cloud gaming is when people stream games over the internet – the much-touted “Netflix for games”
Ubisoft+, PlayStation Plus from Sony, and Xbox Game Pass are the major subscription services in the gaming industry today.
So, will Call of Duty be accessible via Game Pass?
Activision Blizzard stated in a post on X on Monday that it expects to begin adding its titles to Game Pass in 2019, which means it’s conceivable that the new Call of Duty, among other games, will be playable on Xbox from day one.
Prior to this agreement, Sony was typically the company that benefited from Call of Duty exclusives – often meaning early access to the game, testing, and bonus features – but that could soon change.
Importantly, Microsoft has a pattern of making its blockbuster titles available for a monthly fee on Game Pass on the day of their release.
It is up to the gamer to determine whether purchasing the game or paying for access is a superior value.
It is important to note, however, that the UK regulator was so concerned about this issue that for 15 years Activision Blizzard titles could not be streamed exclusively on Xbox.
Microsoft has a track record in this regard; when the highly anticipated and critically acclaimed Starfield was released in September 2023, it was available exclusively on PC and Xbox and was accessible on Game Pass from day one.
If titles remain on PlayStation, what is Microsoft’s advantage?
Even though titles can still be released on PlayStation, Microsoft will ultimately prevail.
Ubisoft may have the streaming rights to Activision Blizzard games for 15 years, but in-game purchases, also known as microtransactions, generate significantly more revenue for game companies today.
According to Statista, the company earned $5.89 billion from microtransactions, downloadable content, and royalties in 2022, which was more than three times the $1.6 billion it earned from selling games.
Sony receives approximately 30% of in-game purchases, though the exact percentage varies by title. In either case, a Call of Duty on PlayStation in-game purchase will now directly fund a competitor.
How do supporters feel?
This week, BBC Newsbeat spoke with fans at the gaming convention EGX to get their opinions on the deal. Oliver, 16, said he felt it was good news for Call of Duty.
“It will just expand the market for gaming, because it’s a company with more money to fund the games,” according to him.
Sophie, who was named content creator of the year by Ubisoft, told the BBC that she “just wants the games to win.”
“We want everyone to be able to play video games that they want to play, we want them to be accessible for everyone,” according to her.
“Obviously, we’re going to have our opinions, but if the end result is good games, that’s fine with us.”
Delete the Instagram post by cadaea.
However, not everyone is optimistic.
Once upon a time, the Activision titles Crash Bandicoot and Spyro the Dragon were PlayStation-exclusives, and some fans oppose a future switch to Microsoft.
Some fans have even started petitions requesting that Microsoft keep the titles playable on all consoles forever.
What does this signify for Britain?
Activision Blizzard’s facilities are located in London, Guildford, and Warrington. The company also controls King, the Stockholm and London-based Candy Crush Saga developers.
Overall, this agreement will result in more UK studios falling under Microsoft’s control.
Ukie, the organization that represents video game companies, told the BBC that this type of international investment was “crucial” to the industry in the United Kingdom. According to a representative, 89% of the total investment in the United Kingdom’s video game industry between January 2017 and June 2022 originated from foreign companies.
Therefore, from the perspective of merely paying for games to be created, this amount of money is extremely important.
What titles currently does Microsoft own?
It expands a massive gaming empire already owned by an American corporation.
Gamers who grew up with the N64 will recall Microsoft’s 2002 acquisition of GoldenEye 007 developer Rare, who had previously specialized in Nintendo titles, for $375 million.
Modern players may be more familiar with Microsoft’s 2014 acquisition of Minecraft developer Mojang for $2.5 billion, which gave Microsoft ownership of the best-selling game of all time.
The company has made a number of astute acquisitions, such as those listed above, in an effort to achieve the same dominance in gaming as it has in computing.
It now owns more than twenty distinct game studios.
Several major titles have already been mentioned, but even more will soon fall under Microsoft’s umbrella.
It is a lengthy list, but notable names include:
The Tony Hawk’s Pro Skater video game.
World of Warcraft vs. Diablo vs.
Sugar Crush Saga
Numerous incredibly renowned video games are about to be acquired by Microsoft.
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