Microsoft Explains It Wouldn’t Be Profitable To Make Call of Duty Xbox Exclusive
Responding to Sony’s words, the company assures that such a thing cannot make up for its losses.
A few days ago, we informed you that Sony has decided on the deal between them. Microsoft and ActivisionBlizzard Due to a query from the Brazilian regulatory agency. In official statements, they assured that it was not possible to compete with Game Pass, to which Microsoft responded by accusing its competitor of paying third parties to include blocking rights in its subscription service.
However, in these words of Sony, what they thought of the Call of Duty legend stood out above all else. important enough to influence purchasing choice A new console with an “unrivaled triple-A blockbuster” and a brand comparable to other entertainment brands like Star Wars or The Lord of the Rings.
It’s just not profitablemicrosoftAlthough we told you yesterday that these statements were rejected by Microsoft, It wouldn’t be profitable to make Call of Duty exclusive to Xbox (As collected at VGC), we expand on the words of the Redmond company today to explain why it is not something that is currently being considered.
They comment that “not distributing Activision Blizzard games in competing console stores would be unprofitable for Microsoft,” while explaining that such a decision would only be viable from a commercial standpoint. if a large number of players have left PlayStation suddenly and they will go to Xbox.
“The strategy would only be profitable if Activision Blizzard games were able to attract enough users to the Xbox console ecosystem and Microsoft could generate sufficient revenue from game sales. compensating for losses caused by not distributing such games on consoles”, they continue from Microsoft.
We couldn’t make up for the lossesmicrosoftThe disclosures also highlight the costs of achieving exclusivity: “Furthermore, exclusivity strategies continue to generate a specific expense for each title. Costs added to previously estimated business losses, as a result, Microsoft failed to make up for losses generate more revenue in the Xbox ecosystem as a result of a premium app.”
The company also said, “If they manage to privilege the Call of Duty franchise in some way,”there will be no competitive effect“Due to the intense competition that exists in the market and, above all, due to the high degree of user loyalty of competing consoles.
While all these discussions are taking place, regulatory bodies continue to analyze the situation to approve or not approve Microsoft’s acquisition of Activision Blizzard, which was announced with a closed operation around it. $68.7 billion. Currently, the UK’s competition control commission has launched an investigation assessing whether the purchase harms competition and consumers.
More on: Call of Duty, Exclusives, Xbox, Microsoft, Sony, Activision and Activision Blizzard.
Source: 3D Juegos
