Video games used to be a parallel universe in the entertainment world. LAN events and gaming nights with friends were followed by online gaming within a few years. Back then, online gaming seemed like magic, but how things have changed. The array of top-notch consoles in the market today leave no space for doubt: online video games are now a focal point in the industry.
Microsoft has shown where it stands in this issue when it unpocketed USD 68.7 billion to purchase Activision Blizzard. Such a massive move sent waves across the tech world. What does this transaction mean to video gaming, though?
Joining the Quest
According to Microsoft’s CEO, Satya Nadella, gaming will play a vital part in developing the metaverse. Nadella believes that metaverse developers have a lot to learn from video games. After all, these developers know a lot about physics, graphics, mechanics, and interactions. The final goal is to make gaming “safe, inclusive, and accessible to all.”
Microsoft isn’t the only tech giant to move towards video gaming. Companies like Sony, Tencent, and Electronic Arts have also purchased smaller companies from this market. Such moves shake the online entertainment world, and even online gambling sites in Canada feel the effects. The acquisition of William Hill by Caesars Entertainment is a recent example.
Changing Perspectives
Microsoft has clearly shown its commitment to the gaming industry. The multi-billion dollar deal with the company that has created games from Candy Crush to Diablo is already a solid step. Yet, there’s more. Bill Gates’ company will soon release a more affordable version of its HoloLens, competing with Sony, Google, Apple, and Meta.
Shopping Spree
Although jaw-dropping, Activision Blizzard isn’t the first high-profile company purchase in the gaming field. Yet, it has been the largest acquisition in the history of video games. In 2014, it bought Mojang (Minecraft) and ZeniMax (Doom and Elder Scrolls). Activision Blizzard is a kind of a two-for-one sale since the company was already the merger of two giants in the gaming world.
Such an aggressive marketing strategy shows results. Microsoft is now the third-largest company in the gaming industry, a list topped by Sony and Tencent. Despite buying so many gaming companies, Microsoft doesn’t plan to invest in a new console since Xbox is doing just fine. Yet, it can change the gaming world by abolishing consoles altogether with Game Pass.
Scrapping Consoles
Game Pass already has over 25 million subscribers, with approximately USD 400 million monthly revenue. Buying Activision Blizzard was a strategic step towards expanding its gaming portfolio.
With Game Pass, players no longer need a console and can play right on the TV, picking titles like other streaming platforms. The company can even make those classic games available only on Game Pass.
Going Mobile
If consoles are no longer necessary, gamers can play on the go, anywhere. Mobile gambling is a market on a rapid rise, and Game Pass is undoubtedly an excellent gaming option for mobile gamers. Along with Activision Blizzard, Microsoft has acquired rights over games like Call of Duty, Warcraft, Candy Crush, and other record-breaking successes.
Microsoft could make those games unavailable for consoles like PlayStation, forcing fans to quit the console with a wave of a hand. More excitingly, fans could play those games straight on their mobile devices.
Endgame
Those who stopped playing video games in the 90s can barely believe how far the industry has come. The distance between PC games and video games has vanished. Soon, the gap between players and games will also be gone once consoles are removed from the equation.
Wearable gaming devices, like controllers on the wrist and headsets, are bound to make the experience even more immersive. Such expertise in games and tech gadgets can put the video gaming industry in the middle of the metaverse building. At least, that’s where Microsoft seems to be putting its money.
