Industry
Microsoft and Sony reach a “binding agreement” on the future of Call of Duty
After months of conflict between the two companies, an agreement was finally reached regarding the fate of Activision’s popular franchise.
Microsoft’s fight on its acquisition of Activision Blizzard has taken a big step forward. With a ruling in its favor in the FTC lawsuit - and Friday’s denial of the FTC’s appeal - Microsoft has a clear path to ending the gaming soap opera of the decade. But it still has to work out some details with other companies.
This morning, Phil Spencer, head of Xbox, announced via his Twitter account that a “binding agreement” had finally been signed with Sony, one of the leading companies opposing this acquisition, which agreed to keep Call of Duty on PlayStation consoles. “We look forward to a future where players globally have more choice to play their favorite games,” the Microsoft executive concluded.
Microsoft and a deal for everyone
The road to Microsoft’s acquisition of Activision Blizzard was a long one, and one that led the company to enter into various agreements to demonstrate that even though it had taken over the development of one of the most profitable franchises in video games, it was willing to keep it for everyone for the next 10 years.
The agreement signed by Microsoft and Sony is similar to the one with Nintendo, bringing the Call of Duty franchise back to Nintendo platforms, which received its last installment in 2013 with Call of Duty: Ghosts. These agreements also reached companies such as Nvidia, allowing them to have the game through its cloud gaming system, as well as lesser-known companies such as Boosteroid and Ubitus.
Microsoft had already tried to sign a deal with Sony, which Jim Ryan, president and CEO of Sony Interactive Entertainment, called “inadequate on many levels.” According to The Verge, this negotiation comes “after months of discussions and counteroffers over the past 18 months,” with Sony concerned that Microsoft would sabotage the PlayStation version of Activision’s shooter.
Microsoft has until July 18th to close the deal with Activision. However, in order to get everyone’s approval, a new decision is needed from the UK’s CMA, which had blocked the purchase due to some issues with cloud gaming. This regulatory body has issued a notice of extension for a new investigation, postponing its decision until August 29th. In light of this, Microsoft has a plan in place, although there may well be a delay in closing the deal.
Source | The Verge