Sony Approves Call of Duty Deal With Microsoft

The console cosmos just got a twist of epic proportions. A shocking announcement rolled off the tongues of Microsoft bigwigs today: Sony, their age-old rival, has inked a binding contract to maintain the Call of Duty franchise on PlayStation. And here we were thinking the soap opera of the Activision Blizzard acquisition couldn’t get more gripping.

Sony-Microsoft Rivalry Takes a New Turn

For the past moons, Microsoft has been working overtime, securing deals with everyone who’s anyone in the gaming sphere. In the name of regulatory charm-offensives, they’ve hooked the big fish of Nvidia, Boosteroid, and Nintendo, not forgetting the enticing offerings of Ubitus and others. All this amidst the rallying cries against the Activision Blizzard transaction from competitors and regulators, notably including Sony.

To Sony, Microsoft extended an olive branch in the form of a 10-year contract, vowing to keep Call of Duty in PlayStation’s star-studded lineup. But Sony scoffed at the proposal, doggedly voicing their disapproval of the impending acquisition. Their contention? That Microsoft’s deal could “stir irreparable damage in the competitive landscape” and possibly cripple PlayStation versions.

Microsoft’s Acquisition: Sony’s Unforeseen Response

We are pleased to announce that Microsoft and @PlayStation have signed a binding agreement to keep Call of Duty on PlayStation following the acquisition of Activision Blizzard. We look forward to a future where players globally have more choice to play their favorite games.

— Phil Spencer (@XboxP3) July 16, 2023

However, like the unexpected plot twist in an engrossing video game, Xbox chief Phil Spencer declared an agreement with PlayStation to keep Call of Duty on the platform, even post the Activision Blizzard acquisition. Details of the pact are hush-hush for now. It’s possible that the contract resembles the decade-long deals Microsoft has previously signed, but with a dash of exclusive promises to Sony, a peace offering after the fiery squabble over the acquisition.

This news breaks at a time when the FTC hit a brick wall with its bid to thwart the Activision Blizzard agreement, followed by a similar rejection from the Ninth Circuit Court of Appeals. This double denial paved the way for Microsoft to seal the deal before the looming July 18th deadline without having to cough up a hefty $3 billion penalty.

Related: Call Of Duty Series: Snag ’em All in Xbox’s Ultimate Game Sale

Yet, there is still a regulatory dragon for Microsoft to slay. The UK’s CMA initially hindered the acquisition, leading to Microsoft and Activision Blizzard launching an appeal to flip the ruling. Following the FTC’s verdict, both parties agreed to hit the pause button on legal proceedings to hash out an agreement. As it stands, they are due for a case management conference at the UK’s Competition Appeal Tribunal. All eyeballs are now firmly fixed on the CMA, the last bastion of opposition to Microsoft’s grand plans for Activision Blizzard.