Microsoft’s Activision Blizzard acquisition is conducive to the development of the game industry

Microsoft acquired gaming giant Activision Blizzard for $95 per share in January this year, with a total transaction value of $68.7 billion. This is Microsoft’s most expensive acquisition ever. Recently, in order to pass the acquisition review, Microsoft has been rushing between the regulatory agencies of various countries. Due to the strong opposition from rival Sony, it is reported that Microsoft may provide remedial measures or make concessions.

Microsoft’s Activision takeover

Recently, Microsoft President and Chief Legal Officer Brad Smith published an article in The Wall Street Journal, saying that Microsoft is trying to innovate in the game field, and the acquisition of Activision Blizzard is conducive to the development of the game industry. Brad Smith also confirmed the previous speculation that Microsoft will provide Sony with a 10-year Call of Duty license agreement to ensure that the series can be released simultaneously on the PlayStation and Xbox platforms, Microsoft will also provide similar commitments to other platforms, while accepting the supervision of various regulatory agencies.

Brad Smith said Sony’s concerns were unreasonable from an economic point of view. A very important source of income for the “Call of Duty” series is the PlayStation platform, coupled with the increasing popularity of cross-platform games today, too many restrictions will be disastrous for the Call of Duty series and even the Xbox platform itself, and will alienate players from Call of Duty series of games.

Brad Smith reiterated that Microsoft needs Activision Blizzard to make its Game Pass business more attractive, but also beneficial to players, spending the same money to play more games, hoping to create an effect similar to Netflix. In fact, Microsoft also wants to increase the influence of its game business on the mobile platform. Phil Spencer, head of the Xbox business, also made a similar point when talking about the deal before.