Microsoft and Sony have agreed to keep Call of Duty on PlayStation, which signals that Microsoft will close the Activision Blizzard deal soon. The agreement ends a long-running feud from last year between the two companies after Microsoft announced its proposed $69 billion acquisition of the Call of Duty maker.
“We are pleased to announce that Microsoft and PlayStation have signed a binding agreement to keep Call of Duty on PlayStation following the acquisition of Activision Blizzard,” Xbox chief Phil Spencer announced in a tweet on Sunday. “We look forward to a future where players globally have more choice to play their favourite games.”
Spencer did not disclose the agreement’s length. Microsoft later confirmed to The Verge‘s Tom Warren the deal is limited to Call of Duty only, and it’s a 10-year deal similar to the deal agreed with Nintendo and other rivals. The agreement comes after a US court denied the Federal Trade Commission’s (FTC) last-ditch attempt to stop the acquisition. Microsoft still needs to get approval from the UK’s Competition and Markets Authority (CMA), but the two are working to address all concerns.
“From Day One of this acquisition, we’ve been committed to addressing the concerns of regulators, platform and game developers, and consumers,” Microsoft’s Vice Chair and President Brad Smith tweeted in response to Spencer’s announcement. “Even after we cross the finish line for this deal’s approval, we will remain focused on ensuring that Call of Duty remains available on more platforms and for more consumers than ever before.”
The agreement between Microsoft and Sony to keep Call of Duty on PlayStation has not been easy. Last September, CEO of Sony Interactive Entertainment (SIE) Jim Ryan said Microsoft’s offer was “inadequate on many levels”. Later in December, Microsoft proposed a 10-year deal to Sony, but no agreement was reached. During the long protracted legal battle, Sony said it was worried that Microsoft could sabotage the Call of Duty build on PlayStation. Ryan also clarified to Activision CEO Bobby Kotick that he was completely against the merger with Microsoft. “I don’t want a new Call of Duty deal. I just want to block your merger.” Ryan disclosed during testimony in the FTC vs Microsoft hearing. “I told him [Bobby Kotick] that I thought the transaction was anti-competitive, I hoped that the regulators would do their job and block it.”
With Microsoft only a matter of days away from completing the $69 billion acquisition of Activision Blizzard, it was a sensible move from Sony to finally reach an agreement to keep Call of Duty on PlayStation.
Image: Activision
