Microsoft Signs 10-Year Deal with Ubitus to Stream Xbox PC Games and Activision Titles
Is this another strategy to win over regulators who are against the deal?
Microsoft has recently signed a 10-year deal with Ubitus, a leading cloud gaming provider based in Taiwan, to bring Xbox PC games and Activision Blizzard titles to its cloud gaming service. The announcement comes amidst Microsoft’s proposed $68.7 billion acquisition of Activision Blizzard, which has faced scrutiny from regulators concerned about the potential impact on competition in the gaming industry.
Ubitus has a track record of partnering with game publishers to bring their games, including Assassin’s Creed Odyssey and Resident Evil 7, to various platforms through its cloud gaming service. The deal with Microsoft could expand the reach of Xbox PC games and Activision Blizzard titles to more platforms and regions, providing players with more choices and accessibility.
The announcement of the deal with Ubitus is strategic for Microsoft, as it seeks to address concerns from regulators about the potential impact of its acquisition of Activision Blizzard on competition in the gaming industry. The UK’s Competition and Markets Authority (CMA) has expressed concerns about the deal potentially resulting in higher prices and less innovation for UK gamers.
Phil Spencer, head of Xbox, took to Twitter to congratulate Ubitus on the partnership, saying, “Our commitment is to give more players, more choice.” The announcement of the deal with Ubitus is strategic for Microsoft, as it seeks to address concerns from regulators about the potential impact of its acquisition of Activision Blizzard on competition in the gaming industry. The UK’s Competition and Markets Authority (CMA) has expressed concerns about the deal potentially resulting in higher prices and less innovation for UK gamers.
Microsoft and Ubitus @ubituskk, a leading cloud gaming provider, have signed a 10-year partnership to stream Xbox PC Games as well as Activision Blizzard titles after the acquisition closes. Our commitment is to give more players, more choice.
— Phil Spencer (@XboxP3) March 15, 2023
Microsoft’s recent deals with cloud gaming providers, including Ubitus, could potentially provide more options and competition in the cloud gaming market, addressing concerns from regulators. How the CMA and European Commission will respond to Microsoft’s proposed acquisition and recent partnerships remains to be seen.
Overall, Microsoft’s investment in cloud gaming services and partnerships reflects the company’s strategy of expanding its gaming offerings beyond traditional console and PC gaming and increasing accessibility to more players. The deal with Ubitus could further solidify Microsoft’s position in the cloud gaming market and provide more opportunities for players to access Xbox PC games and Activision Blizzard titles through cloud gaming.
