Xbox Believed It Could Spend PlayStation out of Gaming Business

Expert Verified By

Xbox Wanted To Spend Billions For Lead Over PlayStation!

Xbox has shifted focus to acquisitions to strengthen Game Pass and its gaming ecosystem. The gaming giant is currently in the process of acquiring Activision Blizzard, marking the biggest merger in the gaming industry.

However, this has led to a court case against the FTC, which has also revealed plenty of interesting details that were previously hidden from the general public. Following various pieces of information, a new internal email from Microsoft provides more insight into its strategy from 2019.

According to the email, Xbox believed it could use its financial status to spend Sony out of business.

Why it matters: Microsoft is a much bigger company than Sony. This allows the gaming giant to make bigger acquisitions, and Matt Booty intended to use this advantage a few years ago.

Xbox Game Pass Microsoft First Party AAA Games

Back in 2019, Microsoft was planning to spend up to $3 billion to prevent competitors like Sony from making strong third-party deals. Referencing this amount, Matt Booty said:

“We are in a unique position to go spend Sony out of business.”

This means Microsoft was ready to spend enough money, potentially becoming the only dominant force in the gaming industry. Following this statement, he clarified that Xbox wanted to avoid a situation where:

“Sony became the Disney of games and owned most of the valuable content.”

While this email seems concerning, Microsoft has come forward to address the situation. According to Matt Booty, Xbox did not go with this approach, and plans changed after 2019.

Currently, the gaming giant is busy improving its offerings with Game Pass. This includes various acquisitions and third-party deals, but nothing on a scale that would be a massive threat to PlayStation’s existence in the gaming industry.

Microsoft also argues that this email is not reflective of its aims with the Activision Blizzard merger.

Contrary to Microsoft’s intentions from a few years ago, Phil Spencer recently claimed that PlayStation uses revenue from Xbox games to make Xbox’s survival difficult.

Recent emails have also revealed that Xbox was considering several studios for acquisition before Activision Blizzard, potentially hinting at more acquisitions from the gaming giant after the $68.7 billion deal.

Was our article helpful? 👨‍💻

Thank you! Please share your positive feedback. 🔋

How could we improve this post? Please Help us. 😔

Gear Up For Latest News

Get exclusive gaming & tech news before it drops. Sign up today!

Join Our Community

Still having issues? Join the Tech4Gamers Forum for expert help and community support!

Latest News

Join Our Community

104,000FansLike
32,122FollowersFollow

Trending

Phantom Blade Zero Doesn’t Use Heavy Unreal Engine 5 Features To Avoid Performance Issues

Analysis reveals that Phantom Blade Zero avoids using Lumen and virtual shadow maps, with limited RT reflections to avoid performance issues.

Borderlands 4 Review Roundup – A Worthy Comeback Held Back By Expected Issues

Borderlands 4 critic reviews are out, painting a mostly positive picture for the anticipated comeback. besides a bunch of expected issues.

Intel Core Ultra 3 205: Benchmarks Leaked 48% Faster Than The i3-14100 In Cinebench R23

The Intel Core Ultra 3 205 is 48% faster than the i3-14100 in Cinebench R23 and complete PCs can be found with it for just 360$.

Ubisoft Lays Off Employees Ahead of Tencent-Backed Subsidiary Launch

Ubisoft announces layoffs and team shifts ahead of launching a new subsidiary with Tencent to manage its main franchises.

Tomorrow’s Nintendo Direct Expected to Reveal New Mario Game, Teased by Insider and Journalist

A new Mario game reveal is expected at the Nintendo Direct on 12 September, which is speculated to be a new 3D Mario title.