-
Hey, guest user. Hope you're enjoying NeoGAF! Have you considered registering for an account? Come join us and add your take to the daily discourse.
Why are so many acting like every gaming company is up for grabs after the Activision deal?
- Thread starter GigaBowser
- Start date
- Business
TheTurboFD
Member
1 company purchasing a huge chunk of the gaming companies... You tell me how it's not becoming a monopoly?
ManaByte
Gold Member
They’re still smaller than Sony or Tencent. So how is #3 a monopoly. Or do you not know what the word really means?
Warablo
Member
This is a huge part of it. A lot of these companies with billions in the bank are actually losing money if they don't find a asset to invest into.
reinking
Gold Member
Why should they implode any more than MS buying them? People act like MS is some indie publisher here to save us all. Look at their history. They are as cutthroat as any other big company. Before you say Game Pass, fans of Apple or Amazon has their reasons for liking those companies. People need to stop acting like billion dollar company A cares more about them than Billion dollar company B. We're one of millions of numbers with a dollar sign attached. That is all they care about.
ChiefDada
Gold Member
Because they are, to an extent. At least the chances of these publishers' willingness to be acquired increased as a direct result of increased valuations. Large, legacy publishers such as Ubisoft and are worth more than they were last week. That is tempting for shareholders.
Activision was sitting on cash, which to me signals they were having difficulties trying to figure out where to invest, aka out of ideas for innovation. If you can't put capital to optimak use as a company, you're better off selling to someone who apparently can, and at a good price.
Activision was sitting on cash, which to me signals they were having difficulties trying to figure out where to invest, aka out of ideas for innovation. If you can't put capital to optimak use as a company, you're better off selling to someone who apparently can, and at a good price.
Chukhopops
Member
The ironic thing is that with the Activision deal any company which may have considered selling is now going to ask for a lot more, whoever the potential buyer (or buyers) is.
That’s why my guess is nothing will happen in the immediate future. Only company I could see being sold is CDPR, due to its stock situation (still far below end of 2020).
That’s why my guess is nothing will happen in the immediate future. Only company I could see being sold is CDPR, due to its stock situation (still far below end of 2020).
Last edited:
Clear
CliffyB's Cock Holster
Activision were appealing to MS for a bunch of reasons, and I suspect that although the CoD business was a part of it, Blizzard's presence in the PC space and even more King's mobile properties were the things that drew their interest the most.
MS needs mobile properties so they can better dictate terms to Apple and Google. Imagine what happened with Fortnite going on with Candy Crush, CoD mobile, and Minecraft... that's a lot more leverage.
MS needs mobile properties so they can better dictate terms to Apple and Google. Imagine what happened with Fortnite going on with Candy Crush, CoD mobile, and Minecraft... that's a lot more leverage.
Lunarorbit
Member
Companies have been circling ubisoft for the last decade and Yves has fended them off. There was a hostile takeover attempt a few years ago.
www.polygon.com
Instead of acquising to vivedis hostile take over then struck a deal and tencent and the Ontarios teachers pension fund now both have 5% ownership but no seat at the board.
This shit is real. It might not happen right away but developers get purchased regularly. Look at Embracer group.
So there's your answer op. This shit can easily happen to any publicly traded video game company.
Ubisoft finally fends off Vivendi takeover bid through Tencent partnership
Vivendi is giving up
www.polygon.com
Instead of acquising to vivedis hostile take over then struck a deal and tencent and the Ontarios teachers pension fund now both have 5% ownership but no seat at the board.
This shit is real. It might not happen right away but developers get purchased regularly. Look at Embracer group.
So there's your answer op. This shit can easily happen to any publicly traded video game company.
bender
What time is it?
Yep. The scale is just changing as a bigger Shark! Shark! has entered the pond.
Hopefully these acquisitions turn out better.
Last edited:
Naked Lunch
Member
Like them or hate them, Xbox has been a console for 20 years. People have been in their ecosystem for 20 years. If Amazon buys someone like Capcom or Square - fans would be forced to enter a brand new ecosystem and console/cloud/whatever their future game system is. People would go apeshit if something like Square games were only on Amazon's gaming platform.
IllegalLemon
Member
What's this then?
Ass of Can Whooping
Member
Activision looking to see if anyone would counter Microsoft's offer as i've said
Old_and_Slow
Member
Because it's all fair game now. Gaming industry has reached some sort of critical value and caught the attention of big money planners.
MS making acquisitions like no tomorrow and Tencent quietly trying to buy all the things that aren't nailed down. These companies want content that only they control, and that they see all the profits from.
People say that Sony doesn't need to make a splash buy, but they really do. Not panic mode yet but Sony should look into a company that fits their business.
MS making acquisitions like no tomorrow and Tencent quietly trying to buy all the things that aren't nailed down. These companies want content that only they control, and that they see all the profits from.
People say that Sony doesn't need to make a splash buy, but they really do. Not panic mode yet but Sony should look into a company that fits their business.
Raven117
Member
Can't wait for this blistering legal and economic analysis of why this violates the Sherman Anti-Trust Act.
reinking
Gold Member
Couldn't the same be said for fans of Nintendo or Sony if MS buys them and makes them exclusive? Before team green gets butthurt I'm only using MS as the example.
LeftThumbstick
Member
You likely won’t get a reply to that because you’re right.
ViolentP
Member
Why do you think these companies exist? If you guessed to generate revenue you'd be right. Now if a company offers you more money than you're valued at or surpass your projected profit path, the wise business choice is to sell and rebuild if you are interested in remaining a player.
That being the case, everyone is for sale. Question is, what's your price?
cireza
Member
Every public company is available for sale. Once public, they don't get to decide anymore. If a company wishes to keep control, it has to stay private.
Last edited:
jakinov
Member
No. The better question is why do people think buying a company that accounts for less than 5% of global gaming revenue is becoming a monopoly!
GigaBowser
The bear of bad news
Iwata: *laughs*
Microsoft tried to buy Nintendo, but got laughed out of the room
Specifically, the Xbox was unveiled at CES in 2001 — to commemorate that launch, Bloomberg has published an in-depth oral history of how the console came to be. It’s a fascinating read, but one particular passage stands out: details on Microsoft’s efforts to secure games for the brand-new...
www.engadget.com
MrFunSocks
Banned
Because fanboys want every company to be up for sale so their team can buy them.
TheInfamousKira
Reseterror Resettler
It's because it's a quantifiable resource, and until this current console gen, apparently no one thought of it. In a console war, proponents on either side are usually limited to three specific arguments: level of hardware tech, sales/users, and exclusives. In other words, this adds another easily measurable criteria to stack defenses. Maybe Nintendo sells the best, maybe Sony has better exclusives, but now my team wins because they own more studios. Bread and circus. War has changed.
The Shepard
Member
CDPR have zero ips to there name, just licences. Who's going to buy them.
ViolentP
Member
Nintendo can be bought. Don't fool yourself. Question is what's the price.Iwata: *laughs*
Microsoft tried to buy Nintendo, but got laughed out of the room
Specifically, the Xbox was unveiled at CES in 2001 — to commemorate that launch, Bloomberg has published an in-depth oral history of how the console came to be. It’s a fascinating read, but one particular passage stands out: details on Microsoft’s efforts to secure games for the brand-new...
mckmas8808
Mckmaster uses MasterCard to buy Slave drives
Gotcha! Yeah you're right. Sony's strategy will be VERY interesting to watch considering they can't compete "money-wise" with MS when it comes to M&As. To me PSVR2 has become 500% more important to Sony and the Playstation business. It's a place that MS hasn't touched and is a clear differentiator.
Lunarorbit
Member
I don't think Nintendo could be bought. It's a Japanese icon and I imagine their board doesn't have any intention of being sold. If you think the vitriol over abk is bad there would probably be legitimate violence in Tokyo if they sold.
German Hops
GAF's Nicest Lunch Thief
Absolute madman.
lastmessiah
Member
It's just fanboy fantasia about Sony buying Capcom, Konami, EA, T2, etc.
Warablo
Member
The thing about Amazon or Google buying a bunch of devs is that they could enter the game then quit years later and all those devs and IP's are lost.
At least with Microsoft you know they won't leave the video game business.
I never saw the appeal of Sony buying japanese developers. They already get the majority of their purchases on Playstation.
At least with Microsoft you know they won't leave the video game business.
I never saw the appeal of Sony buying japanese developers. They already get the majority of their purchases on Playstation.
Last edited:
Captain Toad
Banned
I don't think so.
ViolentP
Member
If Nintendo does what it does for any reason other than profit, I'd love to hear it.
The idea is that Sony loses their best system seller and PS6 collapses because MS is the only place to get Call of Duty, Elder Scrolls, etc.
ManaByte
Gold Member
...that's not a monopoly
Exactly.
Like I said in the other topics, the only reason the EU would try to look deeply into this and/or block it would be purely political, because there's nothing to see here in terms of anti-trust.
Oddvintagechap
Member
This move by Microsoft will spur a frenzy.
I see Sony making a big purchase 4 months from now (that usually how long these things take).
Buying EA or TakeTwo.
Then spinning out the sport games sector of the business as it’s own company. Adding the San Diego Studio. Sony remaining as a significant investor, perhaps at 51%. Either end up being named 2K or EA games, depending on which studio they end up purchasing.
With rest of the studios joining Playstation studios.
I see them buying/merging with Nintendo, not to combat Microsoft. But to combat Tencent and Meta. Making a formable opponent in Japan against all these tech giants.
This is monopolistic behavior. But no they arent a monopoly. But I doubt they would be able to purchase another major publisher.
I see Sony making a big purchase 4 months from now (that usually how long these things take).
Buying EA or TakeTwo.
Then spinning out the sport games sector of the business as it’s own company. Adding the San Diego Studio. Sony remaining as a significant investor, perhaps at 51%. Either end up being named 2K or EA games, depending on which studio they end up purchasing.
With rest of the studios joining Playstation studios.
I see them buying/merging with Nintendo, not to combat Microsoft. But to combat Tencent and Meta. Making a formable opponent in Japan against all these tech giants.
This is silly. Zenimax Media and Activision Blizzard make a large portion of Playstation’s profits. All these games sell more on Playstation. Microsoft has already stated they will make portion of their content exclusively for xbox. Sony will have to fill in that gap.
This is monopolistic behavior. But no they arent a monopoly. But I doubt they would be able to purchase another major publisher.
Hendrick's
If only my penis was as big as my GamerScore!
It could start a consolidation gold rush if the others get nervous.
Sosokrates
Report me if I continue to console war
GigaBowser
The bear of bad news
No they don't.
The could just build their own studios and make games like GOT that sold 8 million copies on one platform instead of spending 5 billion on a company like Capcom (who wouldn't sell anyway but for the sake of discussion is in Sony's price range) just so they can get the rights to a couple frachises that sell over 5 million on multiple platforms.
It makes no fucking sense.
MS's limitless pockets and big buy here have driven everyone mad.
Last edited:
Neo_game
Member
Bethesda deal was a big surprise I think but the Activision deal and sent a shock wave. IMO this is not good for gaming or for that matter any big corporation buying IP and swallowing smaller one. But it is common practice. Microsoft has way too many Game Studio now they just need to manage them. I think they have more than 30? So I guess in next 5yrs they will release 30 games. Not sure why would they need more ? Sony and Nintendo have around 15? which is not bad either.
BadBurger
Many “Whelps”! Handle It!
Because it seems every major tech company is rushing to help craft what the Metaverse will be, and for some part of that strategy involves gobbling up content creators of all kinds.
I thought they discussed it pretty well in this podcast (sadly no transcript) :
www.nytimes.com
I thought they discussed it pretty well in this podcast (sadly no transcript) :
Microsoft and the Metaverse (Published 2022)
Why are so many major companies investing in this new digital world — and what is it, anyway?
Last edited: