© Reuters. Microsoft believes Sony and Nintendo will benefit from the Activision acquisition
The planned acquisition of a major video game publisher and console maker faced regulatory hurdles. The buyer was taking steps to help move the deal forward, including creating a new landing page.
What You Should Know As it faces regulatory hurdles, Microsoft Corporation (NASDAQ 🙂 has launched a new page to share information about its planned acquisition of Activision Blizzard, Inc. (NASDAQ: NASDAQ :).
Microsoft has outlined its vision that games have “more choice and more games for people everywhere”.
The new website, which was highlighted by IGN, described the acquisition of Activision Blizzard as part of Microsoft’s strategy to help gamers.
“We want to enable people to play anywhere, anytime and on any device. And developers deserve more options to create, distribute and monetize their innovative games. When we do that, we all win, “Microsoft said.
The company said it created the website to share more information about the gaming industry and how the planned $ 68.7 billion ($ 95 per share) acquisition fits into Microsoft’s gaming strategy.
The company stressed that the acquisition is good for gamers, game makers and the games industry in general.
The company said the acquisition will deliver more games across multiple devices, including Xbox, Sony’s Playstation (TYO 🙂 Group Corp (NYSE: SONY) and mobile phones.
The company added that the acquisition could provide more revenue streams and a fair market for game creators along with more ways for games to reach more players.
For the gaming industry, Microsoft said more competition in the mobile space would be good as the industry was dominated by some major players.
Microsoft also saw the deal as “growing competition in traditional games, where Sony and Nintendo will continue to be the biggest.”
Why it matters Microsoft’s acquisition of Activision Blizzard has already faced and will likely face further obstacles to approval due to regulatory concerns.
The acquisition of the company could reduce competition in the space and also help the company that owns the Xbox console make the games exclusive and take them away from rivals.
Comments on the website found that Sony Group Corp (NYSE: SONY) and Nintendo Co (TYO 🙂 (OTC: NTDOY) could benefit from the overall growth of more games in the space. Dealreporter recently shared that Sony met with European regulators on the acquisition.
Gamers were initially concerned about the acquisition, which would make franchises like “Call of Duty”, owned by Activision Blizzard, exclusive to the Xbox console in the future. The reviews listed on the website paint a picture that the acquisition will lead to more games across multiple devices. This could be posted to help show that the company won’t be making Xbox-exclusive games.
“Giving players the choice of how to play makes the game more accessible and leads to larger and more vibrant gaming communities. The choice is equally important for developers, “Microsoft Gaming CEO Phil Spencer said on the website, adding,” Developers benefit from having a variety of distribution and business models for their games. The choice opens up opportunities for innovation and allows the sector to grow “.
Microsoft president Brad Smith commented that the acquisition could help eliminate friction between gamers and game creators.
Microsoft has also included a section where the deal will provide “an emphasis on positive workplace culture”. This happens when Activision Blizzard faced concerns about the work environment. Microsoft’s comment could be a way to show that the acquisition could help turn the company around.
Activision Blizzard stock with ATVI price movement was up 0.86% to $ 75 at the close of the market on Tuesday compared to a 52-week range of $ 56.40 to $ 86.90.
Photo: Gorodenkoff via Shutterstock
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