Earlier this year, Microsft agreed on a deal of a whopping $69 billion to acquire Activision. This takeover deal is one of the biggest acquisition deals in gaming history.
This deal will have many consequences for the gaming industry. There are some gamers who call it a bad deal for gamers while some argue that it may not be as bad as it looks.
This deal would mean that Microsoft will have full ownership of different global franchises including:
- Call of Duty
- World of Warcraft
- Overwatch
- Diablo
- Candy Crush
This takeover will also include a new division in the company known as Microsoft Gaming which will be led by Phil Spencer.
In this blog, we will take a look at some of the potential consequences it may have on the gaming industry.
Potential Advantages of the Microsoft Buying Activision
First, let’s take a look at some of the potential advantages that the takeover might bring for gamers:
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Improvement in Xbox Game Pass
Some regard the Xbox game pass as one of the best deals in gaming as it allows you to access plenty of games for a flat fee. The acquisition would mean that Microsoft will add more games to its game pass including Call of Duty and Overwatch.
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Console-Quality Games Anywhere
Another advantage of this deal could be the better accessibility point. This would mean it will have a knock-on effect which will make games such as Overwatch and World of Warcraft available across numerous platforms.
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Affordable Access to More Games
Not everyone can afford high-end new games that sometimes cost $70. This is especially true for third-world countries where there is a lack of purchasing power.
However, for just $10, you can get access to a range of games. This seems like a bargain for gamers across the world.
Potential Downsides of the Deal
There are plenty of negative consequences that may arise from this deal. Some of them include:
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Xbox Priortising Exclusivity
Since Xbox and PlayStation are rivals, they are always making moves to get ahead of each other. This deal would further fuel the rivalry between these two as they will try their best to make more exclusive games.
This deal will consequently narrow down consumer choices and will force gamers to pick one platform over another to play certain games.
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Xbox Monopoly
Another reason why this deal may cause an issue is due to Xbox with a monopoly in the market. With other competitors pushed aside, gamers may find themselves owning an Xbox.
Xbox has previously acquired Bethesda in 2021 for $7.5 billion. After the takeover, the company decided to make all Bethesda titles exclusive to Xbox.
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May Lead to Higher Game Prices
According to gaming experts, this massive deal may result in higher-priced games and services for consumers; especially if the deal is mismanaged.
This deal could mean a potential increase in the cost of video games and services related to Xbox and Activision.
Final Thoughts
While it may seem that this deal could have potentially negative implications, there are plenty of reasons that it may be not as bad as previously thought.
This deal will instigate more competition between PlayStation and Xbox which will mean better quality and services for consumers. This could push these console giants to be as good as possible.
