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PlayStation userbase “significantly larger” than Xbox even if every COD actor ditched Sony, Microsoft says
Responding to UK regulator concerns over Activision Blizzard bargain.
Microsoft has responded to a list of concerns regarding its ongoing $68bn attempt to buy Activision Blizzard, every bit raised by the United kingdom’southward Competition and Markets Authority (CMA), and come up with an interesting statistic.
In response to connected questions over whether Microsoft owning Telephone call of Duty would unfairly hobble PlayStation, Microsoft claimed that every COD role player on PlayStation could move over to Xbox, and Sony’s playerbase would yet remain “significantly larger” than its own.
Microsoft does not go into detail on its mental arithmetic here, but does annotation elswhere in its comments that PlayStation currently has a console install base of 150 million, compared to Xbox’s install base of 63.vii million.
That merits is part of a range of comments given to Eurogamer sister site GamesIndustry.biz in response to the CMA’s latest report, which otherwise mostly repeats many of the aforementioned concerns raised by the Great britain regulator – and others around the world – already.
For those post-obit the case, the CMA’s latest intervention will not come up as a surprise – information technology is the next step on the regulator’southward recent roadmap for how and when information technology will weigh in with its terminal ruling. This month, we were due the CMA’s October “problems statement” – and information technology seems that this is the certificate to which Microsoft has at present publicly responded.
The usual topics are covered – surrounding the potential for the deal to impairment competitors should Microsoft gain besides much of an advantage owning Activision Blizzard franchises (mainly, Telephone call of Duty) and therefore beingness able to leverage their brand power to go a dominant market leader in the panel market and cloud streaming.
Specifically, the CMA sees potential for the deal to harm Sony but also other streaming services such as Google (perhaps a moot indicate now), Amazon and Nvidia.
“Having full control over this powerful catalogue, especially in light of Microsoft’s already stiff position in gaming consoles, operating systems, and cloud infrastructure, could result in Microsoft harming consumers by impairing Sony’s – Microsoft’s closest gaming rival – ability to compete,” the CMA wrote, “as well as that of other existing rivals and potential new entrants who could otherwise bring healthy competition through innovative multi-game subscriptions and deject gaming services.”
In response, Microsoft said such “unsupported theories of harm” were not enough to fifty-fifty warrant the CMA’south electric current Phase 2 investigation – which was triggered on 1st September.
“The suggestion that the incumbent market place leader, with articulate and indelible market power, could be foreclosed by the third largest provider equally a result of losing access to ane championship is not credible,” Microsoft told GamesIndustry.biz.
“While Sony may not welcome increased competition, it has the ability to conform and compete. Gamers will ultimately benefit from this increased competition and choice.
“Should whatever consumers decide to switch from a gaming platform that does not give them a choice as to how to pay for new games (PlayStation) to one that does (Xbox), and so that is the sort of consumer switching behavior that the CMA should consider welfare enhancing and indeed encourage. It is non something that the CMA should be trying to forbid.”
The CMA is due to notify Microsoft of its provisional findings in January 2023, at which indicate it can seek possible remedies to whatever sticking points raised. The regulator’s final report – and overall ruling – will then be published no later than 1st March next twelvemonth.
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Source: https://www.eurogamer.net/playstation-userbase-significantly-larger-than-xbox-even-if-every-cod-player-ditched-sony-microsoft-says