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Feb 21 25 tweets 4 min read
LIVE NOW: Join us for updates from a Microsoft press briefing on the future of its Activision Blizzard deal
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Microsoft is announcing a deal with Nvidia's GeForce. Xbox games will be available via GeForce Now - and this deal will include Activision Blizzard titles such Call of Duty, if and when Xbox owns it.
Microsoft is open to a deal with "guard rails" to appease regulators around the world, Microsoft's Brad Smith says.
"But think about the market in Europe," he adds pointing to a graphic which shows PlayStation has 80% of the gaming market in Europe. Xbox has 20%.
It would be tempting to hold onto that 80% share, but that's not where the cross-platform future of the gaming industry is headed, Smith continues.
Today's announcements with Nintendo and Nvidia mean Call of Duty will be on 150m devices that don't have Call of Duty today, Smith says.
Smith calls for leadership from the European Commission to get the deal done, calling back to deals going back 30 years on Windows hardware and PCs.
Those deals, including squabbles on PC file formats, were far more complex than the Activision Blizzard deals - just less controversial, Smith continues.
Remedies to keep Call of Duty accessible to all could include putting the game on cloud elsewhere, and via PC using ChromeOS, Smith says.
Smith has produced an envelope containing the deal paperwork he hopes Sony will sign - but it hasn't yet. He's waiting with a pen, or with Microsoft Office to print it off for them.
We're onto the Q&A now. The first question asks for a reading of the room from Sony today. Smith doesn't give one.
Sony can spend all its energy trying to block the deal by blocking competition, or it "can sit down with us to hammer out an agreement" addressing its concerns, Smith says by way of an answer.
Smith is more optimistic of getting the deal done than he was 24 hours ago - but not because of what was said in the room today, he says.
Instead he points to the Nintendo and Nvidia deals Microsoft has announced today. Those give him more confidence, he says.
To us it feels like Microsoft is leaning on those deals as a sign of progress - which were clearly made to be ready today in the event Sony didn't play ball.
"We don't think it's feasible or realistic to think one game or one slice can be carved out from the rest," Smith says, when asked if losing Call of Duty would make the deal work.
Smith says, in his view, the UK regulator did not completely shut the door on behavioural remedies rather than structural ones. In other words - he believes there's still wiggle room to get Activision Blizzard King whole.
Here's Microsoft's Brad Smith holding up the contract it's waiting for Sony to sign. Image
Smith is arguing that Microsoft is not spending $69bn to keep Call of Duty on Xbox, but to make it more accessible - including "in the mobile space".
"We will make sure our games work the way people expect, with high technical standards," Smith says, of how Activision Blizzard games like Call of Duty might play on Nintendo platforms or Nvidia.
Today's Nintendo deal relates to current and future Xbox titles for now, and then Activision Blizzard games if the buyout is included, Smith says.
Smith is being asked again about losing Call of Duty or a specific part of Activision Blizzard to get the deal done - as the UK's regulator has suggested will be necessary. It's not what Microsoft is interested in, he says.
Cross-platform is the best strategy for the future - for developers and players. Which is what today's Nintendo and Nvidia deals will provide, Smith says.
Microsoft's closing message is that the main issue regulators have with the deal is that Call of Duty will become more exclusive - which these deals show is not the case.
With that, Microsoft leaves the stage.

#Xbox #ActivisionBlizzard

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