Bermuda Post

Thursday, Dec 26, 2024

Xbox has been played for a fool by PlayStation and Activision Blizzard

Xbox has been played for a fool by PlayStation and Activision Blizzard

A reader thinks Sony will gain more from the acquisition of Activision Blizzard than Microsoft, as he lays out the problems ahead for Xbox.

The deal might not be signed yet but it’s now clear that Microsoft will be allowed to buy Activision Blizzard. I imagine Sony are secretly delighted. I know they’ve been trying to get it stopped publicly but while that didn’t happen they did force Microsoft to make lots of concessions, so my concessions that it’s now hard to understand what Microsoft even gets out of the deal. And I think that was Sony’s plan all along.

Consider the facts. Microsoft is having to pay $69 billion for Activision Blizzard. That’s their most expensive purchase ever, which is going to leave them counting the pennies for decades to come – and already has with all the layoffs they announced the other week. There will be a huge spotlight on the Xbox division now, from the heads of Microsoft, and if it’s not made clear why the purchase was worth it then very quickly heads are going to roll.

We’ve already seen something similar happen with Disney. Confused as to why they rushed out the Star Wars sequel trilogy so quickly, without a plan? It’s because Disney needed to prove to their investors why it was worth buying and how they could make their money back. And that was just $4 billion.

The biggest legal fight has been over Call Of Duty, which Microsoft now has to keep multiformat for 10 years and let Sony put on PS Plus if they want. That means, from Sony’s perspective, essentially nothing will change. Microsoft has paid $69 billion to keep the status quo and maybe make Call Of Duty an exclusive in 10 years. I don’t think it’s unreasonable to call that bad value for money.

There is the Blizzard side of things to consider but World of Warcraft is already PC only and there hasn’t been any talk of making Overwatch 2 an exclusive. Maybe Overwatch 3 will be but it’s not as if the game is that big and any sequel will be years away.

And all this is before you even consider the difficulties of actually owning and managing a company the size of Activision Blizzard. We’ve already seen what a terrible job Microsoft has done with the studios it already owns, with almost no new games being released and still no sign of Fable after all these years. In fact the opposite, with staff leaving developer Playground Games in droves to set up other studios.

Now consider how much more difficult Activision Blizzard is going to be than that, given that the whole reason they’re in this situation is that both companies were embroiled in scandals involving toxic work conditions, poor morale, and bad management. It is going to take 10 years just to sort all that out and then, at the end of all that, what have Microsoft gained?

Sony will have 10 clear years where Xbox is distracted by all the new studios they’ve bought. We’ve already seen how the purchase alone has slowed down Xbox’s productivity and it’s not going to get better any time soon.

You could argue that Sony has played their fiddle just a little too much at times, with this proclamation from the US Congress that they have an unfair monopoly in Japan. But really, can you imagine the American ambassador making a diplomatic incident out of Final Fantasy 7 Remake being a PlayStation console exclusive?

In the end Sony has gained much more out of this whole sorry mess than Microsoft has and if Xbox isn’t careful they will have set in motion their own demise. You don’t spend $69 billion and not have anything to show for it and yet Microsoft doesn’t seem to have any plan to make even a fraction of that money back. In fact, I think it may be impossible and that they will quickly come to regret spending all that money.

Sony, on the other hand, will be quietly pleased that their competitor has wasted all their cash reserves and will be distracted for years to come because of it. At the end of the day, which console you buy is still all about the games and Sony can just carry on as they were, while Microsoft seems certain to have just as much trouble as always.



Newsletter

Related Articles

Bermuda Post
0:00
0:00
Close
Paper straws found to contain long-lasting and potentially toxic chemicals - study
FTX's Bankman-Fried headed for jail after judge revokes bail
Blackrock gets half a trillion dollar deal to rebuild Ukraine
Steve Jobs' Son Launches Venture Capital Firm With $200 Million For Cancer Treatments
Israel: Unprecedented Civil Disobedience Looms as IDF Reservists Protest Judiciary Reform
Google reshuffles Assistant unit, lays off some staffers, to 'supercharge' products with A.I.
End of Viagra? FDA approved a gel against erectile dysfunction
UK sanctions Russians judges over dual British national Kara-Murza's trial
US restricts visa-free travel for Hungarian passport holders because of security concerns
America's First New Nuclear Reactor in Nearly Seven Years Begins Operations
Southeast Asia moves closer to economic unity with new regional payments system
Political leader from South Africa, Julius Malema, led violent racist chants at a massive rally on Saturday
Today Hunter Biden’s best friend and business associate, Devon Archer, testified that Joe Biden met in Georgetown with Russian Moscow Mayor's Wife Yelena Baturina who later paid Hunter Biden $3.5 million in so called “consulting fees”
Singapore Carries Out First Execution of a Woman in Two Decades Amid Capital Punishment Debate
Spanish Citizenship Granted to Iranian chess player who removed hijab
US Senate Republican Mitch McConnell freezes up, leaves press conference
Speaker McCarthy says the United States House of Representatives is getting ready to impeach Joe Biden.
San Francisco car crash
This camera man is a genius
3D ad in front of Burj Khalifa
Next level gaming
Google testing journalism AI. We are doing it already 2 years, and without Google biased propoganda and manipulated censorship
Unlike illegal imigrants coming by boats - US Citizens Will Need Visa To Travel To Europe in 2024
Musk announces Twitter name and logo change to X.com
'I just lost it' Lowe’s worker fired after 13 years of employment for confronting thieves trying to steal $2K of merchandise
The politician and the journalist lost control and started fighting on live broadcast.
The future of sports
Unveiling the Black Hole: The Mysterious Fate of EU's Aid to Ukraine
Farewell to a Music Titan: Tony Bennett, Renowned Jazz and Pop Vocalist, Passes Away at 96
Alarming Behavior Among Florida's Sharks Raises Concerns Over Possible Cocaine Exposure
Transgender Exclusion in Miss Italy Stirs Controversy Amidst Changing Global Beauty Pageant Landscape
Joe Biden admitted, in his own words, that he delivered what he promised in exchange for the $10 million bribe he received from the Ukraine Oil Company.
TikTok Takes On Spotify And Apple, Launches Own Music Service
Global Trend: Using Anti-Fake News Laws as Censorship Tools - A Deep Dive into Tunisia's Scenario
Arresting Putin During South African Visit Would Equate to War Declaration, Asserts President Ramaphosa
Hacktivist Collective Anonymous Launches 'Project Disclosure' to Unearth Information on UFOs and ETIs
Typo sends millions of US military emails to Russian ally Mali
Server Arrested For Theft After Refusing To Pay A Table's $100 Restaurant Bill When They Dined & Dashed
The Changing Face of Europe: How Mass Migration is Reshaping the Political Landscape
China Urges EU to Clarify Strategic Partnership Amid Trade Tensions
Europe is boiling: Extreme Weather Conditions Prevail Across the Continent
The Last Pour: Anchor Brewing, America's Pioneer Craft Brewer, Closes After 127 Years
Democracy not: EU's Digital Commissioner Considers Shutting Down Social Media Platforms Amid Social Unrest
Sarah Silverman and Renowned Authors Lodge Copyright Infringement Case Against OpenAI and Meta
Italian Court's Controversial Ruling on Sexual Harassment Ignites Uproar
Why Do Tech Executives Support Kennedy Jr.?
The New York Times Announces Closure of its Sports Section in Favor of The Athletic
BBC Anchor Huw Edwards Hospitalized Amid Child Sex Abuse Allegations, Family Confirms
Florida Attorney General requests Meta CEO's testimony on company's platforms' alleged facilitation of illicit activities
The Distorted Mirror of actual approval ratings: Examining the True Threat to Democracy Beyond the Persona of Putin
×