call-of-duty-wouldn’t-be-profitable-as-an-xbox-exclusive,-microsoft-says

Call of Duty changing into an Xbox unique sequence would not be worthwhile, based on Microsoft, and if it did, it could don’t have any aggressive influence on the game as a result of intense competitors within the game publishing market.

In a brand new doc despatched to Brazil’s Administrative Council for Economic Defense discussing the Activision Blizzard acquisition, as reported by VGC, Microsoft additional addressed a few of Sony’s considerations concerning the profitable first-person shooter sequence changing into an Xbox unique, saying that turning Activision Blizzard’s video games unique would not be worthwhile:

“Regardless of how unsurprising Sony‘s criticism of content exclusivity is – given that PlayStation’s entire strategy has been centered on exclusivity over the years – the reality is that the strategy of retaining Activision Blizzard’s games by not distributing them in rival console shops would simply not be profitable for Microsoft.”

“Such a strategy would be profitable only if Activision Blizzard’s games were able to attract a sufficiently large number of gamers to the Xbox console ecosystem, and if Microsoft could earn enough revenue from game sales to offset the losses from not distributing such games on rival consoles.”

In addition, making video games like Call of Duty unique to Xbox comes with title-specific prices that, added to the misplaced gross sales on different platforms, would lead to Microsoft not having the ability to offset the losses, as exclusivity would not result in greater revenues within the Xbox ecosystem, much more contemplating Microsoft’s technique and Sony’s extraordinarily loyal userbase.

“Such costs, added to the lost sales estimated […] above, mean that Microsoft would not be able to offset the losses by earning higher revenues in the Xbox ecosystem as a result of implementing exclusivity.”

“This is especially true considering (i) the ‘gamer-centric’ – as opposed to ‘device-centric’ – strategy that Microsoft has pioneered with Game Pass, and (ii) the fact that PlayStation has the most loyal users across its various generations, with all indications that brand loyalty accrued in previous rounds of the ‘console wars’ suggesting that PlayStation will continue to have a strong market position.”

Even if making Call of Duty an Xbox unique would turn into worthwhile, Microsoft feels that it could don’t have any aggressive influence, given the extraordinary competitors within the game publishing market and the excessive diploma of userbase loyalty of the opponents.

The full doc despatched to Brazil’s Administrative Council for Economic Defense may be discovered right here.