Bloomberg has reported via anonymous sources that Google and Nvidia have both communicated with the Federal Trade Commission (FTC) to share Sony’s concerns against Microsoft’s acquisition of Activision Blizzard. The FTC voted to sue in December, in an ongoing attempt to block the $69 billion merger from taking place. The concerns are numerous by different parties in the case, but the area that Google, Nvidia and Sony agree concerns Microsoft’s cloud gaming business.
A key component of Microsoft’s business strategy with the Xbox brand is to push Xbox gaming outside of its own consoles. Xbox Cloud Gaming allows gamers to play Xbox titles on phones, browsers, select Smart TVs and more, and it utilises Xbox’s Game Pass subscription service to provide these titles. Microsoft is slowly building a strong repertoire of titles exclusive to its service through acquisitions, and the purchase of Activision Blizzard has the potential to make some of gaming’s biggest names exclusive to the service.
From Overwatch to Call of Duty to Candy Crush, Activision Blizzard owns a lot that Microsoft can use to leverage customers to its services, both on Xbox hardware and on other devices through cloud gaming. Whilst Google and Nvidia have not expressed concerns over the benefits the deal would bring to Xbox consoles, they do take issue with cloud gaming as its an area in which they compete. Nvidia has Nvidia GeForce Now, whilst Google has its own cloud gaming services including the discontinued Stadia. The sources representing these companies stayed unnamed with Bloomberg.
Do you agree with Google, Nvidia and Sony that Microsoft’s potential domination of cloud gaming is too much? Or, do you think that Microsoft would be right to use its new purchases on its cloud and subscription services? Let us know in the comments below, and keep your eyes on GameLuster for more gaming news.
