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Today, Microsoft announced two new deals. The first will bring Xbox PC games to Nvidia’s GeForce NOW service. The second signed deal is a previously announced, but now confirmed 10-year deal with Nintendo to not only bring Call of Duty to Nintendo platforms, but to do so “the same day as Xbox, with full feature and content parity”. This comes as the Communications Workers of America encourages the European Commission to approve Microsoft’s deal to acquire Activision Blizzard.
These three different moves are certainly connected, with Microsoft saying that they are “committed to providing long term equal access to Call of Duty to other gaming platforms, bringing more choice to more players and more competition to the gaming market”. This statement, from Brad Smith, Microsoft President and Vice-Chair, Is one that directly addresses some of the complaints that have been lodged in opposition to the company’s pending acquisition of Activision Blizzard.
We’ve now signed a binding 10-year contract to bring Xbox games to Nintendo’s gamers. This is just part of our commitment to bring Xbox games and Activision titles like Call of Duty to more players on more platforms. pic.twitter.com/JmO0hzw1BO
— Brad Smith (@BradSmi) February 21, 2023
One of the key points cited in a recent report by UK regulatory agency, Competitions and Markets Authority (CMA) was that Microsoft could potentially squeeze out competition in the cloud gaming market. With the Nvidia deal, which also runs for 10 years, this could potentially be averted in such a manner that regulators in countries that have concerns over the Activision Blizzard deal might find satisfying. Nvidia GeForce NOW will begin to provide the ability to stream Xbox PC games to MacOS, PC, Chromebooks, and other devices, including compatible mobile models.
Should the Activision Blizzard deal be approved, the Nvidia agreement would also mean that Activision Blizzard PC titles will become part of the available menu of options too. GeForce NOW has over 25 million members around the world, so this is a large reach.
Microsoft has extended offers to Sony, but that company has not bitten.
Also looking to help push the deal forward is the Communications Workers of America, which represents a number of nascent gaming industry unions. Most recently, they came to represent QA workers across ZeniMax Studios, which is owned by Microsoft. Microsoft has voluntarily recognized this union and has vowed to not stand in the way of unionization efforts.
The CWA’s statement cites difficulties in collective bargaining efforts with unionized workers under Activision Blizzard, and praises Microsoft’s position as one reason the deal will be a net positive. “Microsoft’s binding commitments will give employees a seat at the table and ensure that the acquisition of Activision Blizzard benefits the company’s workers and the broader video game labor market,” it says.
