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Microsoft Announce ‘Binding’ 10-Year Contract Between Xbox And Nintendo

Summary:

  • Microsoft has announced a 10-year contract with Nintendo to bring Xbox games to its gamers as part of its commitment to offer Activision titles to more players.
  • The agreement ensures that games like Call of Duty will come to Nintendo on the same day they are released on Xbox with full feature and content parity.
  • Analysts believe that the deal with Nintendo is meant to pressure Sony into accepting a similar agreement for PlayStation, as Microsoft heads to court with EU regulators over its acquisition of game publisher, Activision Blizzard.

 

Microsoft has announced a binding 10-year contract to bring Xbox games to Nintendo gamers as part of its commitment to offer Activision titles like Call of Duty to more players.

 

If you are thinking that you have heard this before, you are right, the company had previously announced the deal in December 2022. However, this newly announcement comes with additional details and it is timely as Microsoft is heading to court with EU regulators over its acquisition of game publisher, Activision Blizzard.

 

The regulator is suing Microsoft to stop the deal because of its potential to lead to unfair advantage in the gaming industry. Since the lawsuit, the computer company has done all it can to show itself as being in no position to gain advantage by buying the Call of Duty makers. In one particularly funny update, Microsoft showed Xbox numbers which were far less than what Sony was pushing.

 

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Call of Duty®: Modern Warfare®
Call of Duty is the game that Microsoft and Sony are fighting over.

 

In the announcement, Microsoft added that the agreement ensures that Call of Duty will come to Nintendo the same day that it is released on Xbox, and with full feature and content parity. The latter part is to put to rest any lingering doubt that Microsoft could ruin player experience on other platforms when they release new Call of Duty versions in the future.

 

Analysts believe that the Nintendo deal is meant to pressure Sony into accepting a similar deal for PlayStation as it believes that the Japanese corporation is behind the roadblocks its $67 billion deal has been facing.

 

According to Reuters, the Microsoft hearing will be a real spectacle as Microsoft President Brad Smith, Xbox head Phil Spencer, Activision CEO Bobby Kotick, and CEO of Sony Interactive Entertainment Jim Ryan are all expected to testify later today. Also, Google, Nvidia, Valve, Electronic Arts, the European Games Developer Federation, and other gaming regulators are sending representatives to take part in the closed hearing.

 

If Microsoft clears this hurdle, it still has the US FTC and UK CMA to contend with on similar anti-trust and anti-competitive issues.

 

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Onwuasoanya Obinna

A reader of books and stringer of words. Passionate about Science and Tech. When not writing or reading he is surfing the web and Tweeting.