Call of Duty to Remain on PlayStation Following Activision Blizzard Microsoft Merger

In a significant development for the gaming industry, Microsoft has announced that it has signed an agreement with Sony to ensure that the popular game franchise “Call of Duty” remains available on PlayStation even after Microsoft’s merger with Activision Blizzard. The agreement aims to address concerns raised by Sony regarding competition following the $69 billion merger, which would make Microsoft the world’s third-largest video game publisher.

Phil Spencer, the head of Xbox at Microsoft, confirmed the agreement in a tweet, stating, “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.” He added that the agreement reflects a future where players globally will have more choices to play their favorite games.

Sony had expressed concerns about the merger’s impact on the availability of “Call of Duty,” a franchise that enjoys immense popularity among gamers. The agreement between Microsoft and Sony regarding the continued availability of the game on PlayStation may help alleviate Sony’s concerns and facilitate the smooth conclusion of the merger. Sony has yet to respond to requests for comment on the matter.

To address competition concerns raised by regulators worldwide, Microsoft had previously entered into multiyear licensing agreements with other gaming companies such as Nintendo and Nvidia. These agreements were aimed at ensuring that Microsoft would not restrict access to Activision titles for users of these companies’ platforms and consoles.

According to Microsoft spokesperson Kari Perez, the agreement with Sony will be in effect for 10 years. Microsoft President Brad Smith highlighted the company’s commitment to addressing the concerns of regulators, platform and game developers, and consumers throughout the merger process. Smith emphasized that even after the merger’s completion, Microsoft will focus on making “Call of Duty” available on a wider range of platforms and to more consumers than ever before.

During a recent five-day hearing in federal court, Microsoft executives, including CEO Satya Nadella, testified that popular titles like “Call of Duty” would not be restricted from competitors following the merger. US District Judge Jacqueline Scott Corley, in her opinion last week, stated that the US government had not demonstrated that it was likely to succeed in its assertion that the merged firm would pull “Call of Duty” from Sony PlayStation or substantially diminish competition in the video game library subscription and cloud gaming markets.

The deadline for Microsoft to complete the merger with Activision is July 18, although both companies have the option to mutually seek an extension. Last week, Microsoft secured two consecutive court victories when federal courts declined to temporarily block the merger. The Federal Trade Commission had sought a preliminary injunction to prevent potential harm to video game consumers, arguing that the deal would allow Microsoft to withhold “Call of Duty” and other popular titles from competing consoles and cloud gaming services.