Sony for EA? Some analysts believe that Sony must jump on the bandwagon of mergers and acquisitions if it does not want to lose the position of relevance that its PlayStation games division has.
The purchase of Activision Blizzard and King by Microsoft is shaking up the gaming world. In the absence of closing the operation after the required approval by the market regulators, there could be other agreements on the way in movements of concentration of forces where consumers do not usually come out favored in the face of less competition, but they are there, behind the scenes.
Sony is probably the most affected by Microsoft’s strategy in a show of economic power and commitment to the future of a video game industry that does not stop growing. the japanese company you need content to feed your platform and it is very difficult for him to maintain it only with his own developments without the great titles of independent studios.
Activision Blizzard (plus id Software, plus Bethesda) have quite a few, with some of the biggest and most profitable franchises in the industry like Call of Duty being included in Sony’s catalog today. Few doubt that the games themselves are one of the keys most important for the sale of video game consoles. And if not, ask Nintendo, which without having the best hardware, sells as many machines or more than the rest.
Analysts believe that the regulators will put some kind of restriction on the purchase of Activision Blizzard in the sense that the acquired companies will have to offer their games to third parties such as Sony under conditions similar to the agreements they have had until now. Microsoft has promised that it will keep Sony exclusives, but the truth is that the future is not written and there are no absolute guarantees that Sony will be able to offer that content, neither on its current platform, nor on the new subscription service it is on. working.
Sony for EA?
Thus, Sony is expected to make a move by entering this type of purchase operation. The biggest bet would be Electronic Arts. The most powerful producer of the -few- that are becoming independent. The problem is that Sony is short on cash and EA has a market cap of $37 billion. More affordable for Sony would be targets like Take-Two ($18 billion) or Ubisoft which is valued at $7 billion.
But beware, Hollywood is on the prowl. There are other analysts who are betting that some of the giants of entertainment content will take the plunge and enter the video game industry. There are plenty of hit shows, movies, and music and services that carry them, but video game revenue sweeps them all combined.
Here Disney stands out. The world’s largest giant in its sector, which once with a new CEO could move away from the shadow of Bob Iger and acquire EA. «Combining EA Sports with ESPN could create many unique opportunities, like a true sports metaverse“, they explain as an example.
and netflix. Its chief operating officer, Greg Peters, recently said that the streaming video leader is focused on creating games based on franchises it already owns, such as Stranger Things, but that it was also open to the possibility of working with licenses from other big players. games.
Yes, Microsoft’s purchase of Activision Blizzard and King (the biggest acquisition in the software giant’s history) is shaking up the gaming world. And what we have left. The response of the regulators will be key for this and other operations. And they must be demanding because otherwise there will be a few ‘monsters’ without the possibility of the smallest being able to compete. And users would lose alternatives. And if others, like Disney, take the dough out for a walk and buy Electronic Arts, imagine the repercussions.
