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  • Microsoft looking to acquire Valve & EA???


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    Here is an interesting rumor that made the news yesterday.  “A reliable source close to Microsoft” with reports of “internal shifts” told Polygon , that Microsoft is creating the necessary situation for an acquisition of Electronic Arts, Valve and Korean outfit PUBG Corp.

    The reason for the buy up should be to get more exclusives games to the XBOX One.

    A large acquisition of this nature, especially of publishing titan EA, would be a substantial step in bolstering Microsoft’s gaming software division. Buying Steam would alleviate their problems with the Windows Store.

    EA is about a 25 billion dollar company. Valve is not a publicly traded company but it is estimated to be about 10 billion dollar company. (estimated based off primary shareholder being worth around 4 billion and holding over 50% of share and aligned with previous estimate growth) Bluehole would be a relatively small acquisition and not sure if it brings any true value to Microsoft other than a simple Stable acquisition in terms of exclusivity and pushing the narrative of marketing value.

    Valve though is directly in line with what Microsoft is trying to do in combining a PC/XBox experience into a single entity. Bringing a huge stable of titles that Valve owns and yet has allowed to stagnate and become little more than marketing anchor points. Windows store is a mess and Steam would allow a better store front for Microsoft to attach to. Along with Valve having a strong VR backing that Microsoft would get to counter the Sony VR push with already developed product. Steam/Xbox crossplay alone would bring a huge swath of attention to the possible acquisition.

    EA is another beast and I doubt it would be as lucrative for Microsoft and it’s brand. EA is more tied down by Sony distribution to value it’s worth. Like with Majong take over Microsoft would have to continue supporting publishing on Sony platforms to keep the worth of the company. Any possibility of breaking from EA current development/distribution/produ ction practices would devalue it too much for the cost to be worth it.

    So in my eyes:

    • PUBG Corp no brainer, easy but not really a big acquisition.
    • Valve surely is the best fit for Microsoft current plans and is viable.
    • EA is just a name thrown in the hat from what I can see. Nothing on Microsoft side that gains as much from EA purchase as others.

    It will be interesting to follow though.

    Source.

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    I have a feeling that if MS bought out Valve, Steam would eventually end up crashing an burning. They say they want to combine PC and Console gaming but the money that MS makes on exclusive rights, conflicts with that strategy. It's the same with the other major consoles as well. They don't really have a stake in the PC market unless some part of it is stuck in "Proprietary Land". That is why most PC games run their own DRM, store, etc. The only way that I would see MS/Valve happening and come through as they say they would  is if they put just as much focus on PC gaming as they do with consoles prior to the acquisition. You know, test the waters before telling the world you gonna take the high dive.    

     

    EA on the other hand I could care less. From what I have seen over the years, they seem like they follow the same business strategies (buy popular companies, strip them dry, move on).

     

    Certainly an interesting topic though. Kind of makes you think about what opinions you hold. All of it could happen, or none of it.

     

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    It is a hefty premium price tag to acquire EA, however MS could do so easily and quickly. I am hesitant to think that it would, but I do agree that there are some big things MS would get by getting EA and things that line up with MS own plans and way of thinking.

    Thinking of exclusivity, MS would have its hands on some very lucrative titles, as well as Origin, which is EAs version of Steam IIRC.

    I doubt Valve would sell, not when they are doing quite well, but I could see Steam getting a HUGE upgrade with titles that MS has in its hands. SO its not impossible.

     

    Very interesting to say the least, and yes its funny given that article about SWTOR and being done in terms of content.

     

    However all aside, imagine what might happen if MS DID buy EA... SWTOR might be evaluated as a place where more money could be had so I like to entertain the notion of MS funding some WOW sized expansions to SUCK up a lot of money for the final years the SW rights give.

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    • 2 weeks later...

    dread the idea of SWTOR on XBox, just a PC guy.  I would hope they would keep it separate, or just end it and i will move on to another game.

    Image result for wile e coyote gif

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