Microsoft defends upcoming $68B purchase

Microsoft is still in the process of purchasing Activision Blizzard and has to convince a number of governing bodies that it is not creating a monopoly. In a letter to the New Zealand Commerce Commission, the company stated that there are no “must have” titles when it comes to Activision Blizzard.

“Particularly with regard to Activision Blizzard video games, there is nothing unique about the video games developed and published by Activision Blizzard, which is a ‘must have’ for rival PC and console video game distributors that could give rise to shielding.”

Microsoft insists none of Activision Blizzard’s games are a must-have

The letter was in response to a report from the New Zealand Commerce Commission in June, and the company said none of the Activision Blizzards titles would be considered killer apps.

The company also said in the letter that it has no plans to withdraw games like Call of Duty from non-Microsoft platforms. Other popular Activision Blizzard titles on other consoles will not be removed for the foreseeable future, according to the letter:

“Microsoft has demonstrated that it is not withdrawing content from other platforms after making multiple public statements that it will continue to make Call of Duty and other popular Activision Blizzard titles available on PlayStation during the term of an existing agreement and beyond. Microsoft has also publicly stated that it is interested in taking similar steps to support the Nintendo platform.”

Another point is that they want Call of Duty to be moved to the Nintendo Switch as well, and they’re interested in making that happen. When it comes to Call of Duty, for example, the franchise has made $27 billion since 2003, according to a 2021 earnings call.

Activision Blizzard also owns one of the largest MMOs in the world, World of Warcraft. While there are other viable options for the genre’s players, it is the biggest name among MMO fans and another expansion is coming in the form of Dragonflight.

However, Sony is not so optimistic. They are concerned that PlayStation sales will decline, as will Call of Duty sales for their consoles. This would be due to brand loyalty and the knowledge that Call of Duty would be owned by Microsoft at the time.

The takeover is also being questioned by the UK Competition and Markets Authority. The group announced in July that they were investigating the deal and that the findings will be ready for publication in early September.

There is currently no confirmation on the status of the Activision Blizzard acquisition, but the company stands by their business decision and does not believe it will hurt the market.

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