Insomniac Games Hack Reveals Sony’s Fears Over Microsoft’s Activision Blizzard Deal
According to a report by Wccftech, recent ransomware attacks on Insomniac Games not only exposed the studio’s game lineup for the next decade but also revealed an internal Sony PlayStation strategy presentation. This document highlighted Sony’s concerns about Microsoft’s acquisition of Activision Blizzard.
In the disclosed document, Sony acknowledged the substantial strategic value of Activision Blizzard in the gaming market. It expressed concerns that if Activision Blizzard’s games were integrated into the Xbox Game Pass subscription service, Sony’s PS Plus (PlayStation’s subscription service) would face intense market competition. Sony internally projected that PS Plus’s revenue could decrease by $1.5 billion annually in such a scenario. Additionally, the document mentioned Activision Blizzard’s role in significantly advancing Microsoft’s gaming endeavors on PC, mobile platforms, and online services.
Surprisingly, Sony internally admitted that its core competitive edge in the gaming industry (a high-quality AAA game lineup) is becoming outdated. Its competitors’ development directions are more aligned with modern gamers’ needs. However, Sony also noted that due to the high development costs of AAA games, it is currently challenging for game companies to balance revenue and expenses solely through subscription services. Consequently, creating an ideal game subscription service in the short term is improbable. Wccftech interprets this as Sony not intending to heavily invest in developing its game subscription service to compete with Microsoft but rather focusing on producing high-quality AAA games to solidify and expand its strengths.
Although Xbox’s current performance in the gaming market is moderate, Sony believes that by 2027, Xbox will pose significant competitive pressure on PlayStation. Xbox’s advantages lie in its subscription service and offering time-limited exclusive content in certain games.
