Microsoft rumored to be buying...... [2020-04, 2020-07, 2020-11]

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It's not always about $$$... but also prior relationships and potential future partnerships. One of the reason why AT&T sold Crunchyroll for under a billion to Sony, rather than 1.3B Tencent was offering and the 1.5B AT&T was originally seeking. Plus, Sony has a great relationship with many of the WB gaming studio exe's and developers. That being said, of course Microsoft is probably whispering in AT&T/WB ears as well... I know I would if I knew my competition was doing the same.


Interestingly it seems sony have stronger ties to the WB side of things but Microsoft has much stronger ties with the AT&T corporate side, they just made a $2B cloud/5G deal last year.
Microsoft as a whole is making a push to make Azure the place to be for 5G applications and telecommunications. this is a quote from Jason Zander, who is an Azure EVP, 'We’re building a carrier-grade cloud and bringing more Microsoft technology to the operator’s edge'. They have also purchased several telco companies like Affirmed Networks and metaswitch that are telecom specific or focussed network infrastructure companies.


https://news.microsoft.com/2019/11/...enable-next-generation-solutions-on-the-edge/

https://telecoms.com/506676/microsoft-lays-out-its-plans-for-the-telco-cloud/

EDIT: damn eastmen beat me to the punch,

If it came down to it, from a non cash perspective I think Microsoft could offer a more compelling deal to AT&T, some sweetheart Azure deal for their telecom networking would lower their operating costs. More so than some movie production deal that gets AT&T a bunch of 'maybes' when it comes to movie commercial success
 
except look at amazon.

They shelled out for crytek engine making it into lumberyard and then they started developing games years ago and what do they have to show for it?

However you build a dev team, you need tools and are engine. I'm not sure where you're going here? Should Amazon buy Ubisoft so they don't have to buy chairs? :???:

I don't think sony could have purchased bethesda it would be to large of a purchase for them

lol. Be serious.
 
I had heard that no one wanted to pay what ATT was asking for and so they dropped the price.

ATT is in dire financial straits so I don't think they are gong to refuse a larger bid.

You heard wrong. Because Tencent really wanted Crunchyroll but AT&T went with Sony regardless of Tencent's offer.

Also
https://news.microsoft.com/2019/07/...e-to-deliver-innovation-with-cloud-ai-and-5g/

so its not like ATT and Microsoft don't have a prior or on going relationship ?

Great! But my point was that WB game studios just has a great relationship with Sony, not that the parent company (AT&T) didn't have with others.
 
However you build a dev team, you need tools and are engine. I'm not sure where you're going here? Should Amazon buy Ubisoft so they don't have to buy chairs? :???:



lol. Be serious.

I'm saying that Amazon invested a lot of money in an engine and in new dev teams and so far out of their 3 projects have 2 failures and 1 in dev hell. Often times the easiest way to get into an industry is to buy previously successful companies

Do you disagree with me that its easier to buy a company who is already making hit games vs starting a company up from scratch to create those hit games ?

also what is your list supposed to show me ? MS is paying 7.5b for bethesda the largest purchase sony has made on your list seems to be BMI which cost them 2.37b and was in 2018.
 
I'm saying that Amazon invested a lot of money in an engine and in new dev teams and so far out of their 3 projects have 2 failures and 1 in dev hell. Often times the easiest way to get into an industry is to buy previously successful companies

Do you disagree with me that its easier to buy a company who is already making hit games vs starting a company up from scratch to create those hit games ?

also what is your list supposed to show me ? MS is paying 7.5b for bethesda the largest purchase sony has made on your list seems to be BMI which cost them 2.37b and was in 2018.

I know you love Microsoft and that's ok... I love Mercedes Benz, and that's ok. But please take off the "lovebug" corporate glasses.
 
However you build a dev team, you need tools and are engine. I'm not sure where you're going here? Should Amazon buy Ubisoft so they don't have to buy chairs? :???:



lol. Be serious.
As far as I heard somewhere Sony wanted to pay 4-5 billion or something, and MS proposed 7.5 and Sony withdrew.

I don't think Sony can afford buying anything more that 6-7 billion in cash. Even with their 30 billion stash, it is basically not that much more than their whole profit from PS4. Maybe with stocks and mergers it is a possibility - considering that Sony now is american company no?
 
I'm saying that Amazon invested a lot of money in an engine and in new dev teams and so far out of their 3 projects have 2 failures and 1 in dev hell. Often times the easiest way to get into an industry is to buy previously successful companies
Sinking money into a game is no guarantee of success, it never has been.

Do you disagree with me that its easier to buy a company who is already making hit games vs starting a company up from scratch to create those hit games ?

I disagree on "easier" for sure, even if it can be quicker. The process of buying another company, including assessing all their asserts and liabilities, offers, counter offers, negotiating which parts of the management team are coming along, setting out the terms of transferring of contracts, possibly relocation and assimilating a different organisation into yours is anything but easy. It's way less effort to recruiting a bunch of new people who don't come with legacy issues. Then you may need regulatory approval which can add many months to the process during which both sides are in a weird legal limbo.

It's also worth being clear that when you buy another company, the majority of the workforce may not chose to stay. Talent is extremely transient in the games industry so if the goal to 'buy talent'

also what is your list supposed to show me ? MS is paying 7.5b for bethesda the largest purchase sony has made on your list seems to be BMI which cost them 2.37b and was in 2018.
Sorry, I should have been clearer. Sony make acquisitions all the time, but they have never need to blow billions because they've let themselves slide back in a market and needed to pay through the nose to remain competitive.

As far as I heard somewhere Sony wanted to pay 4-5 billion or something, and MS proposed 7.5 and Sony withdrew. I don't think Sony can afford buying anything more that 6-7 billion in cash. Even with their 30 billion stash, it is basically not that much more than their whole profit from PS4.

This is not the place for it but you need to re-read Sony's financials because just in the last two years, and just from software, Sony have been takings tens of billions of dollars in revenue each year. In 2019 that was over $8bn profit.
 
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Sinking money into a game is no guarantee of success, it never has been.



I disagree on "easier" for sure, even if it can be quicker. The process of buying another company, including assessing all their asserts and liabilities, offers, counter offers, negotiating which parts of the management team are coming along, setting out the terms of transferring of contracts, possibly relocation and assimilating a different organisation into yours is anything but easy. It's way less effort to recruiting a bunch of new people who don't come with legacy issues. Then you may need regulatory approval which can add many months to the process during which both sides are in a weird legal limbo.

It's also worth being clear that when you buy another company, the majority of the workforce may not chose to stay. Talent is extremely transient in the games industry so if the goal to 'buy talent'


Sorry, I should have been clearer. Sony make acquisitions all the time, but they have never need to blow billions because they've let themselves slide back in a market and needed to pay through the nose to remain competitive.



This is not the place for it but you need to re-read Sony's financials because just in the last two years, and just from software, Sony have been takings tens of billions of dollars in revenue each year. In 2019 that was over $8bn profit.

1) I'm just replying to what you said here https://forum.beyond3d.com/posts/2180420/
"If you took at the acquisitions of Amazon, Apple and Google, they've only ever acquired companies for technology, not for the people, nor non-technology patent IP. If they want in on gaming they will be able to recruit good talent by being able to pay more."

I'm saying if Amazon, apple google want to recruit and start companies it will take a long time and looking at amazon who did such a thing and announced games in 2016 well it didn't go well for them did it ?

Where as if they bought a company that was already making successful games they would be in a better postion. For example if they bought Bethesda they would have some of the largest IPs to launch under the amazon and luma brands thus ensuring the fans of those series would buy their product.

Its much easier to buy into something popular than to start from the ground up in regards to creating a sucessfull game or games. Yes there are issues when it comes to making the actual purchase but at the same time the company will come with games in various states of production and most likely prior games that have hopefully sold well (other wise why buy them)

Building a studio still requires you to go out and hire a lot of people , wait for them to come up with a good game idea and then wait for them to implement it and hope the team you formed works well together and that the ip when/if finished finds an audience.

If i was one of these massive companies and wanted to get into the game space , i would do both I would buy studios that are finding success in the industry and start up my own in house studios.

2) How many billions did the ps3 cost them so they could claw back market share as they sold about half the number of consoles that the ps2 sold virtually in a dead heat with the xbox 360 ?
 
This is not the place for it but you need to re-read Sony's financials because just in the last two years, and just from software, Sony have been takings tens of billions of dollars in revenue each year. In 2019 that was over $8bn profit.
Ok, Sony's PS4 profit is Q3 2013 and Q2 2020 is $11bn. But so what? 8bn profit for the whole year and MS paid that in cash for Bethesda basically. What company can throw its whole yearly profits over a single publisher? Of course it is possible but still.
 
I have no idea of how doable it'd be, but Microsoft getting a deal with genDesign would be interesting. They're a Japanese company, made up of former Team Ico devs. (OG Shadow of the Colossus, Ico, etc..)
It might stir some interest in Japan, and a natural counter to the potential Sony fan backlash would be, "Sony seems more interested in Western developers for their 1st party stable." (they just picked up Blue Point for example)

It could be that they wouldn't be interested though, and are happy with their Epic partnership..
 
1) I'm just replying to what you said here https://forum.beyond3d.com/posts/2180420/
"If you took at the acquisitions of Amazon, Apple and Google, they've only ever acquired companies for technology, not for the people, nor non-technology patent IP. If they want in on gaming they will be able to recruit good talent by being able to pay more."

I'm saying if Amazon, apple google want to recruit and start companies it will take a long time and looking at amazon who did such a thing and announced games in 2016 well it didn't go well for them did it ?

And Microsoft's first Xbox flopped commercially? So what. Almost nobody goes from zero to instant success it a single try. You said that Microsoft should be acquiring companies before Amazon, Apple and Google start doing so and I said that traditionally none of these companies have bought companies for the talent of the workforce which is critical to making games. Buildings, furniture, dev systems, tools and engine licences are not a barrier to a large organisation - what is critical is personnel.

Where as if they bought a company that was already making successful games they would be in a better postion. For example if they bought Bethesda they would have some of the largest IPs to launch under the amazon and luma brands thus ensuring the fans of those series would buy their product.

I don't disagree that that acquiring an effective studio may mean you can get up to speed quicker but I do disagree that this is necessarily "easier" - which is what you said. Companies may own assets, technology and IP but they don't own people and I'd argue that's the most complex dynamic because even with the most talented people under one roof, it'll take a while to build a rapport and for that collection of individuals to become an effective team, develop a work culture and produce good results and that's the time saver of acquiring an existing studio.

That said, my personal experience of having been in organisations that have been acquired, and acquired other organisations, is that the change can make individuals rethink whether they are in the right job. Sometimes you're in a role and it's "fine" or "good" ( but not great, not bad) but when you something changes it causes you to re-evaluate things and you may decide it's time for change. Even the most minor changes in terms, conditions and perks can cause this so acquiring a studio - even if you make no material changes to the way it's run - can result in a wave of introspection and people deciding to leave after their contracted periods, which in the games world are generally quite short. In which case, are you that much better off?

Most large organisations (like Apple, Amazon, Google and Microsoft) generally don't buy companies for personnel/talent for a reason.


Ok, Sony's PS4 profit is Q3 2013 and Q2 2020 is $11bn. But so what?

The what is your state was ludicrously false, but if you're "so what" is a sign that facts and reality aren't important...

8bn profit for the whole year and MS paid that in cash for Bethesda basically. What company can throw its whole yearly profits over a single publisher? Of course it is possible but still.

So how can Xbox afford to buy a single publisher? Assuming, and based on the broadly accepted reality that PlayStation's profits vastly exceed those of Xbox?
 
Spiderman is bigger than Batman + unlike Batman it has a very popular game like Spiderman on PS.
While I agree that Spiderman is a more popular character than Batman right now, I think it's important to remember that super hero media is very trendy. And I don't mean to say that it's popular, but that there are trends of rising and falling popularity. Nolan's The Dark Knight had a billion dollar box office. So did Dark Knight Rises. That's more than every Spiderman movie except Far From Home, and it's got to be ahead of that when adjusted for inflation.

Games sales are much harder to track, but we do know that PS4's Spiderman shipped 20 Million units in 2 years. Arkham Knight shipped 5 million in 4 months, and City shipped 12 million in 12 months. Spiderman's numbers are impressive, but it's not like the Batman games were not "very popular". The trends simply have Batman in decline now, and Spiderman on the rise.
 
Apparently, MS might buy Kojima productions, long shot, but this is the right thread for it...


Didn't Kojima's most recent project get cancelled for some reason? maybe he was pissed about that and wanted to do it anyway? It's a long shot, in any case, I wouldn't put any stock in it. Kojima would be a huge get for Microsoft, it almost doesn't even matter what he makes, to have a 'celebrity' dev, for lack of a better term, like Todd Howard, would really drive interest in gamepass/xcloud
 
Apparently, MS might buy Kojima productions, long shot, but this is the right thread for it...


Didn't Kojima's most recent project get cancelled for some reason? maybe he was pissed about that and wanted to do it anyway? It's a long shot, in any case, I wouldn't put any stock in it. Kojima would be a huge get for Microsoft, it almost doesn't even matter what he makes, to have a 'celebrity' dev, for lack of a better term, like Todd Howard, would really drive interest in gamepass/xcloud
It is fake news or something.
 
Wonder of they'll drop an announcement of acquiring someone at the game awards.

I would be surprised if it was a purchase more than, irrc, $96 million, they have to notify the FTC and get it approved like they are going through with Bethesda atm. It also would be a bit, I guess tone-deaf I think, especially because the game awards are an industry event and not an Xbox event. Not a good look to go, 'Hey Everyone look at this awesome game trailer from a game dev you love, BTW Xbox only, and we are buying them lol'. Who knows, maybe I am wrong and they will announce buying capcom lol.


If it was a smaller purchase than the $96 million I don't think it would be impactful enough I guess? On its own anyway. I wonder how much Remedy would be worth?


I do have a sneaky suspicion something is going on with IO interactive, on the bond teaser trailer there was nothing about what platforms it would be on. Plus the teaser trailer was weird, they surely would have been better off saving that for a surprise at the game awards, especially with it so close. Maybe they were trying to drive their acquisition price up? Exclusive bond games would be a big deal for Xbox.
 
yeah, more than likely,
I cant imagine the reaction if Xbox got an exclusive metal gear solid game though, especially with the Metal Gear Solid movie that sony is making

The Metal Gear's IP is firmly in the hands of Konami, Kojima can't use it anymore without licensing it.
 
I do have a sneaky suspicion something is going on with IO interactive, on the bond teaser trailer there was nothing about what platforms it would be on.

With IO I'd guess it depends on how well the 3 yrs of independence have worked out for them. MS are pitching a sweet deal of "here's funds, be your best self" to mid sized developers like IO.

The Metal Gear's IP is firmly in the hands of Konami, Kojima can't use it anymore without licensing it.

I'm also pretty sure Kojima's done with the series too. It's not nearly bat shit crazy enough relative to Death Stranding. :D
 
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With IO I'd guess it depends on how well the 3 yrs of independence have worked out for them. MS are pitching a sweet deal of "here's funds, be your best self" to mid sized developers like IO.
I'm also pretty sure Kojima's done with the series too. It's not nearly bat shit crazy enough relative to Death Stranding. :D


Yeah, it was a long shot, I guess Xbox will just have to buy Konami!


With IO, the only thing I can think is that the bond license must have been expensive, either as an upfront lump sum or a high sales percentage. The 007 games will have to sell gangbusters, which Im sure they will, but there is always a risk, so maybe they would feel happier under a publisher. You just have to look at the Avengers game, if I hadn't of seen any of the game I wouldn't have guessed that it would be a massive flop. There were rumours of Xbox looking at IO a while ago weren't there? last year if I remember correctly.

I wonder how much IO would cost? In the US as long as an acquisition is less than ~$96 million you don't have to get approval from the FTC, so they could have kept it quiet I guess if they already had.

There's just so many weird things surrounding IO, last October they announced they were partnering with WB interactive for a worldwide publishing and distribution agreement for a game 'set in a new world for IO'. Yet we see the trailer and it is being ostensibly self-published. If Microsoft had bought/was planning to buy them they could still self publish under the IO label, like how Bethesda apparently will. But I can't imagine WB would be happy for them to self publish such a huge IP. An episodic James Bond game like the original hitman would do really well for game pass.

Also the timing of the announcement and no announced platforms on the teaser trailer
 
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