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Microsoft Hints at 2028 Launch for Next Xbox during FTC Trial

Published on 26 Jun, 2023, 12:10 PM IST
Updated on 1 Dec, 2024, 7:47 PM IST
Sahil Mohan Gupta
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Acquisition of Activision faces opposition while Microsoft's plans for console and mobile gaming expansion emerge

During the ongoing trial between Microsoft and the US Federal Trade Commission (FTC) regarding the proposed acquisition of Activision Blizzard, revealing documentation has hinted at the potential release of a successor to the Xbox Series X in 2028. In an effort to secure an injunction on Microsoft's acquisition of Activision, the FTC has recently presented evidence, as reported by IGN, including documentation implying that the next wave of consoles may arrive by 2028.

Moreover, Phil Spencer, the CEO of Microsoft's gaming division, testified that Bethesda, the renowned developer responsible for the Elder Scrolls franchise, is planning the next iteration of the game within the next five years. Bethesda became a part of Microsoft following the acquisition in 2021.

Speculation suggests that the forthcoming Elder Scrolls game could launch alongside the next Xbox as an exclusive title. In fact, the acquisition of Bethesda has been leveraged by both the FTC and Sony to highlight why Microsoft should not be permitted to acquire Activision, particularly since one of its key titles, Starfield, is now set to be released exclusively on Xbox.

Sony has argued that Microsoft could withhold blockbuster games like Call of Duty from the PlayStation platform. However, Microsoft asserts that it offered Sony a deal to provide all major titles for a period of ten years—an agreement Sony is unwilling to accept. Microsoft has successfully garnered support from Nintendo and Nvidia, and has also secured the European Union's approval for the acquisition, although the UK's Competition and Markets Authority (CMA) remains opposed to the deal.

In recent revelations, Microsoft exposed redacted documents that revealed Sony's PlayStation chief, Jim Ryan, was never concerned about Call of Duty being unavailable on their platform. His strategic concerns were more focused on Microsoft's financial capacity to acquire additional key game development studios, potentially leaving Sony at a disadvantage in the long run.

Jim Ryan’s emails could turn the tide against Microsoft as it could change the stance of the CMA in the UK, alongside the FTC in the US.

Microsoft argues that the acquisition of game studios has been necessary due to its two-decade-long struggle in the gaming console market, consistently trailing behind PlayStation and Nintendo. Although he characterises the console wars as a social construct, Spencer acknowledges that Xbox currently holds a distant third position in the market, behind PlayStation and Nintendo.

Furthermore, Spencer contends that Microsoft's interest in acquiring Activision primarily stems from its desire to leverage popular mobile games like Candy Crush and establish a competitive game app store challenging the dominance of the Google Play Store and Apple App Store.

Also Read: Apple Orchestrates Strategic Entry into India's Digital Payments Arena

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