We are going to make an article about Sony Has Been Charged By Xbox With Providing Game Pass Block Fees To Programmers.
Xbox has accused Sony of trying to “inhibit growth” of Game Pass by blocking content from appearing on it as part of a document sent to Brazil’s Administrative Council for Economic Defense to justify its proposed acquisition of Activision Blizzard.
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Microsoft has publicly responded to Sony’s accusations that the acquisition of Call of Duty by Xbox would have an anti-competitive effect in Brazil.
Microsoft argues in documents published by CADE that Sony’s concern with possible exclusivity of Activision’s content is “incoherent, to say the least,” given that Sony has used exclusivity strategies as part of its strategy to strengthen its presence in the games industry.
This “only reveals, once again, a fear about an innovative business model that offers high-quality content at low costs to gamers, threatening a leadership that has been forged from a device-centric and exclusivity-focused strategy over the years,” says the author.
The article continues, “In fact, Sony’s desire to inhibit such growth has obstructed Microsoft’s ability to continue expanding Game Pass. Sony purchases “blocking rights” to prevent developers from making their games available on rival subscription services like Game Pass.
Documents released as part of last year’s Epic vs. Apple lawsuit made reference to PlayStation blocking third-party games appearing on Game Pass, indicating that such platform deals are commonplace in the gaming industry.
The document has been redacted to protect sensitive information, including the rest of its response and two additional claims under the same section.
Sony Has Been Charged By Xbox With Providing Game Pass Block Fees To Programmers
Microsoft argued that Sony “does not want attractive subscription services to threaten its dominance in the digital distribution market for console games” and “in other words, Sony rails against the introduction of new monetization models capable of challenging its business model.”
Several third-party companies, including Sony, Bandai Namco, and Ubisoft, voiced their concerns to CADE last month about Microsoft’s planned acquisition of Activision Blizzard.
According to Sony, the game is “an essential game, a blockbuster, an AAA-type game that has no rival,” and its purchase could sway users to switch to Xbox.
Phil Spencer, head of gaming at Microsoft, said in January that he planned to keep Call of Duty on PlayStation platforms after the company acquired Activision Blizzard.
Later, however, it was reported that Activision Blizzard has a binding agreement with Sony to release only the next three Call of Duty games for PlayStation consoles. This includes the upcoming Modern Warfare 2 for this year’s consoles.