Xbox boss Phil Spencer has described Sony's plans for growth as "making Xbox smaller" in a recent conversation regarding the ongoing Microsoft acquisition of Activision Blizzard. Regulator review of the acquisition has intensified recently, and Xbox's public rhetoric has intensified in equal measure. What was once a publicly cordial relationship between Xbox and PlayStation has broken down as Sony has worked to derail the acquisition. Spencer and Xbox are understandably not happy.
Sony has been aggressively working to counter Microsoft's acquisition of Activision Blizzard. This includes PlayStation boss Jim Ryan personally flying to Brussels to meet European Commission regulators and offer comment. Sony has said publicly that the acquisition would have "major negative implications for gamers and the future of the gaming industry" and further that it wants to "guarantee PlayStation gamers continue to have the highest quality gaming experience." PlayStation's overtures to regulators have, so far, been embraced.
Speaking on the Second Request podcast regarding the acquisition, Phil Spencer characterized Sony as the "one major opposed of the deal." Perhaps as an explanation for why Sony would try to shut down the acquisition, Spencer says, "Sony is trying to protect its dominance on the console. The way they grow is by making Xbox smaller." The implication is that Xbox is working to grow through ideas like Xbox Game Pass and PC support. Meanwhile, Sony isn't embracing new ideas or expanding into new markets, but rather working to stymie Xbox.
As for Spencer's point that Sony is the only "major" entity opposed to the acquisition, there's some truth to that. Microsoft says it has come to a 10-year agreement with Nintendo to make Call of Duty available on Nintendo consoles once Activision Blizzard's acquisition closes. Microsoft has also committed to continuing selling Call of Duty on Steam, with Steam boss Gabe Newell stating that Valve trusts Microsoft's intentions.
Major third-party publishers have also expressed confidence in the health and competitive level of the video game industry. These publishers include Warner Bros., Ubisoft, Bandai Namco, and Riot Games. The general sentiment is that there are alternatives to Activision Blizzard games across the industry and regardless of Microsoft's plans it wouldn't impact competitiveness.
While Spencer's public comments have no weight in the process of the acquisition, it does indicate a reframing of Microsoft's approach to regulator challenges to the acquisition. Microsoft has largely worked toward compromise with other companies, making pledges regarding Call of Duty and exclusivity. Following the FTC's announcement it seeks to block Microsoft's acquisition, it's now growing more defensive. Spencer's comments could read like allegations that regulators are defending Sony and not considering competition. It wouldn't be surprising if the Microsoft acquisition of Activision Blizzard continues to heat up going forward.
Source: Second Request