Image: Activision Blizzard
Microsoft and Sony have reached a deal to keep the popular video game franchise Call of Duty (CoD) on PlayStation consoles for at least another decade, even after Microsoft completes its USD 69 billion purchase of CoD publisher Activision Blizzard.
The agreement ends more than a year of failed negotiations between the two tech giants over the fate of Call of Duty, which is typically the best-selling game of each year and has a loyal fan base across both platforms.
A Sony representative told Axios that the arrangement would last at least 10 years but did not disclose any other details. Microsoft did not comment on the specifics of the deal either. But it reiterated its commitment to keeping Call of Duty accessible to all gamers.
The deal comes amid regulatory scrutiny over Microsoft's acquisition of Activision Blizzard. This acquisition would make Microsoft one of the largest employers of game developers worldwide and the top third-party publisher on PlayStation.
Regulators in the U.S., U.K., and Europe have questioned whether Microsoft could use its ownership of Activision Blizzard to gain an unfair advantage over Sony by making Call of Duty exclusive to Xbox and PC or offering it earlier or better on its own devices.
Microsoft has denied any such intentions, saying it would be more profitable to keep Call of Duty on multiple platforms and expand it to new ones. However, Sony executives expressed doubts about Microsoft's offer and terms, fearing that Microsoft could still use Call of Duty to hurt PlayStation's market share or revenue.
Sony's agreement with Microsoft comes two days after an appeals court rejected the Federal Trade Commission's request to delay the merger until it completes its antitrust review. The FTC had argued that the merger would harm competition and innovation in the gaming industry.
Regulators in the U.K. have also blocked the merger but said last week that they would consider a restructuring of the deal and make their final decision by August.
Microsoft's bid for Activision Blizzard expires on Tuesday, but both parties could agree to extend it.