The CMA (Competition and Markets Authority), the organization that regulates the UK market and monitors the practice of competitive activities, has published the response of up to nine different developers to its preliminary findings regarding Microsoft’s purchase of Activision Blizzard. Among them is Sony. The Japanese company’s statements are embarrassing again, and in order to stop the process, Sony is able to throw stones at its ceiling with phrases such as the following: “When it comes to multi-game subscription services, MGS, there is no doubt that Game Pass is far ahead of PlayStation Plus.” .
With this statement, Sony is trying to admit its mistakes, show some weakness in some areas, and thus undermine Microsoft’s claims that it is the Japanese who really control the market and prevent it from competing. But the plot goes further, suggesting that if the company is bought by Activision Blizzard, its great competitor may retaliate in the following ways:
- Call of Duty price hike on PlayStation
- Weakening the quality and performance of Call of Duty on PlayStation compared to Xbox
- limiting, demeaning or not prioritizing investment in the PlayStation multiplayer experience; or
- Making Call of Duty available on Multi-Game Subscription Services (“MGS”) only on the game card or making Call of Duty available on PlayStation Plus at a price that is not commercially viable, making it a de facto exclusive.
We’ll see how it all turns out, but the agreement between Microsoft and Sony looks pretty complicated. Both companies are already in a period where they are beyond offering new strategies on how they can improve and grow in the industry, yet they are only showing their weaknesses as if that is the only strategy they can show.
We reported a few days ago that Jim Ryan, CEO of Sony, said the following in one of the recent meetings between the two companies: “I don’t want a new Call of Duty deal. I just want to prevent your assimilation.” Is there a resolution for something like that?
Source | CMA
