The latest gaming company to get snapped up is Bungie, with Sony picking them up at a price of $3.6 billion. Well, there may be more deals coming in the short term, as companies compete for the strongest library of games.
The Game Awards creator Geoff Keighley has taken to Twitter today to reveal that he's heard some major video game deals are "in the final stages of negotiations", which as you can imagine, has caused quite the stir on social media:
VentureBeat journalist Jeff Grubb also spoke about acquisitions in the latest GamesBeat Decides podcast. In short, Grubb says that because of general inflation, increasing developer value and the urge for companies to go out and buy other devs, we should expect more acquisitions to come.
His co-host, Mike Minotti, hinted that the pair have heard of another acquisition on the "bigger side", but didn't go any further into detail on that. Here's a timestamp of the acquisition chat:
Nothing is confirmed yet so take these reports / rumours as you will, but it makes sense that game companies will be looking to compete with Microsoft's recent moves. The purchases of both Bethesda and Activision Blizzard will shake up the entire industry, giving Microsoft a wealth of IP to use on Xbox. It makes sense that other publishers will want in on gaining valuable talent, and franchises, as well.
Who do you think is next to be acquired? Let us know below.
[source youtu.be, via reddit.com]
Comments 31
That's crazy to think of what's happening next. Heard something that they are trying to limit tencents ownership on a government level so don't expect it that be them. Sony said expect more buy I'd expect smaller deals just because I don't see them having the cash to spare. Can't see MS doing a big deal while waiting for AB to get approved so Netflix buying someone big is my bet.
I imagine more Embracer Group acquisitions very soon.
Conflicted and split.
1) Generally not a fan of all this consolidation, even if I initially benefit.
2) Not a fan of there being so many exclusives, especially existing franchises. In the past it's been 90+% of games on all/many platforms and a handful of first party. I worry it will be the opposite.
Games should be open to a wide group not limited to those who have multiple systems. Imagine if you could only listen to some music if you had a different device (e.g. iPhone or Android). Madness. (it happened with Minidisc, didn't end well) That's not good for gaming's larger scale growth, it fragments the player base.
3) However IF it happens I would prefer this to be existing players, especially MS, Sony, rather than Google, Apple, Amazon, Netflix, Tencent.
4) Happier, not happy, to have 2 or 3 consoles to play basically everything. Don't want to get to position streaming TV is in. (Need Netflix, Prime, Disney, HBO, Sky, and more to watch all the best tv) Someone mentions a TV series and you have to check if you CAN watch if first. Prefer the music model open to all.
i just hope ms goes ahead and buys ubisoft before others make any move.
I wonder if Epic ever plans to expand their development side to have 1st party exclusives on their store.
I just have big feeling MS picks up Ubi. Another feeling EA in negotiations with someone to be purchased or merger of sorts.
All I want and hope is for Sony to buy Square Enix.
I’m worried for Nintendo on the hardware front with the Switch heading into obsolescence during a chip shortage and supply chain struggle. I don’t know how they will effectively manufacture a new device. Does that open the unthinkable up? Am I being an alarmist? I mean… not gonna lie, I would love Breath of The Wild 1 & 2 on Series X haha..
@Snake_V5 Take that back! 😂
All this acquisition talk of even more of the top 5 companies just makes me think about the direction gaming is going in and that I don't want to be a part of that. Digital subscription future in around 20 years and so many exclusives per system that you pretty much have to own both consoles to play games you could on one console in 2019. More and more buggy games get released and required day one patches, Microtransactions, live service galore, NFT's and loot boxes, over priced DLC, paid online, co op shooters everywhere and only the richest will be on top.
Wish I could go back to the days of the PlayStation 2 and whatever Nintendo had where none of that existed and only pure fun single player games and couch co op games were around. Would of been happy if that was the last gen.
@UltimateOtaku91 some publishers have been very very crappy even without consolidation tho
@JaneBear 😈
@SolarSailor Suddenly... Embracer doesnt look that big anymore. No, they're still massive.
@uptownsoul isn't the FTC looking into it already a good sign? The deal was always going to be reviewed just due to it's scale so them already doing it means it could be closed earlier of everything gets approved.
I'd bet none of these unannounced "major gaming deals" are acquisitions specifically that involve Microsoft because they aren't likely to enter a "major" acquisition until after the Activision-Blizzard acquisition is finalized.
I think the main reason MS probably isn’t as involved (outside of maybe a small individual studio purchase) is because they just spent a ton on AB. I mean I know they have plenty more, but the CEO has gotta pull back Phil at some point right?
@101Force the only one that would make me nervous would be WB (if it goes anywhere other than Xbox). I don’t play many Square Enix games and I imagine EA would keep their sports titles multiplat like bungie intends to.
@themightyant Don't forget Hulu, Starz, and now Peacock. And whatever else. And yeah, I absolutely DO see the future of gaming as exactly like TV streaming. Especially as it goes outside the N/PS/XB world. Worse, bundled WITH those TV streaming platforms. Want to play Final Fantasy 17? Play it exclusively with YouTube TV+Games Only $129.99/mo! (Notice: Oprah Winfrey Network, Food Network, Hallmark Channel, Zynga Games, and PBS being added 5/22, price will go up to $159.99/mo accordingly.) AT&T Unlimited 5G subscribers can play FOR FREE!
Anyone have some cyanide tablets? I'm hungry.
Still, Peacock wins the best naming for any TV service ever. Yes, it's based on the famed "peacock" fan logo of the NBC network that is it's parent company (NBC/Universal/Comcast), but not many companies willingly walk into a sales pitch where people can legit gather around the water cooler and say "Hey wanna come over for Parks & Recreation on the 'Co?k with me tonight?" Or better "wanna binge the 'Co?k tonight?"
Someone in PR really did not think this through. At all. They must not internet. At all.
@uptownsoul The Activision deal will go through, I'm not sure why everyone has some fringe idea of how to block something that is benefitting gamers as a whole. If Facebook were to have bought Activision/Blizzard/King, I don't know about you, but that is where games will go to die.
I wonder if Sega could be one of the companies being bought? They’ve been splitting off certain divisions and getting out of the arcade business lately, which might indicate preparations to be bought out by a company that doesn’t want those parts of the business.
My money is Netflix is the one to make a move. They have their own streaming infrastructure, the money, said they want to get into gaming, and want identifiable IPs.
@BulkSlash I've seen this argument being mentioned on several sites and it seems like a possibility most definitely. After all, Microsoft has been going after publishers that have some form of issues. ZeniMax had apparently financial problems, Activision Blizzard obviously has all these scandals and while Sega might not have financial issues, leaving the arcade business means that they've lost a good source of revenue. Ubisoft could also be a potential candidate given that they've also had their fair share of scandals. So based on this pattern, it seems like Microsoft could be looking at Sega or Ubisoft next.
Remember that (forgetting empty promises etc), Sony and Microsoft can acquire these studios and genuinely keep them multiplatform. Not sure what will happen with Cod or Destiny in 5 years time; but these acquisitions could 100% be a good thing. You can acquire to keep exclusive, but you can also acquire to safeguard against these developers being bought outside of the big 3 (which no one wants).
I really don’t want Sony to buy Square Enix. However, if they do and keep them multiplat, then that is an incredible amount better than Final Fantasy Facebook. If they do, and keep them exclusive…. Well that’s still better. Just not ideal.
Also, I haven’t listened to the podcast linked but if there is talk about a big acquisition… why not just name names. If it doesn’t happen oh well, but it’s not going to be because 2 people outed the deal on their podcast.
I'm glad this is less about Microsoft trying to destroy Sony, and more to do with preventing Amazon, Google and other vultures from gaining a foothold. Imagine if Tencent had bought Bethesda...
@Somebody they gave also Bought quite a few studios recently so we would easily see them expand even more
@Carck Normally, I'd agree with you but considering we live in a world where Microsoft has acquired Activision Blizzard, a public company and one of the largest third-party publishers on the gaming market, anything is possible now. I'm sure Microsoft would find a way to acquire Sega if they really wanted to make it happen and if Sega is willing to sell.
All I have to say is it’s amazing times to be a gamer!
Wouldn't believe a word Geoff Keighley says. He's just trying to keep his name relevant.
Do you honestly think these billion dollar deals get leaked without some serious legal ramifications?
With the Activision, Zenimax and Bungie deals, actual staff were only informed on the morning the announcements were made public.
So I find it hilarious that Geoff has "heard from multiple people" about these top secret deals. LOL
@NEStalgia …or Paramount+, Apple or even some of the providers like Virgin or BT or even niches like Funimation or Crunchyroll.
As it stands when someone mentions a good tv series I know there’s a 70% chance I don’t have access.
While I dislike the consolidation, IF it’s happening, better to consolidate into fewer monoliths
Geoff says a thing after it has been anounced by Sony that a thing is happening. Thanks Geoff. Looking forward to your message of "More games to be released this year".
There is no way Microsoft will get away with any more acquisitions until the Activision deal passes regulators and that will take 18 months.
This gives Sony time to react. Bungie was on the cards 6 months ago and likely not a reaction to MS/AB but then again Sony probably caught wind of Microsoft shopping for Activision 6 months ago.
Sony's hand is strengthened by Japanese competition laws preventing foreign takeovers. Square Enix would be a sure bet at this point as Final Fantasy may as well be a PlayStation exclusive and nobody ever brought and Xbox console for its JRPG's lol
Nintendo are notoriously quiet on this sort of thing but might take the opportunity to buy a few developers they work closely with. I could see them going after Platinum Games for example.
If Sammy use this as an excuse to offload Sega it would be between Sony and Nintendo unless another company like Capcom or Namco wanted to expand.
Tap here to load 31 comments
Leave A Comment
Hold on there, you need to login to post a comment...