xbox activision

Sony’s Reacting to Xbox Activision Deal Like Blockbuster Reacted to Netflix, Says Microsoft

Microsoft has penned an op-ed in The Wall Street journal, expressing concerns over regulators in U.S., U.K., and E.U. potentially blocking the Xbox Activision deal. Authored by Microsoft’s vice chair and president Brad Smith, the article likens Sony’s response to the acquisition to Blockbuster’s response to streaming giant Netflix.

Xbox Activision deal is “good for gamers,” Microsoft insists

Smith penned his op-ed in response to reports that the Federal Trade Commission was mulling over blocking the deal. FTC chair Lina Khan is a fierce critic of tech monopolies but it’s claimed that those reviewing the deal are siding with Microsoft. Smith, evidently bothered by three major markets dragging their feet approving the acquisition, reiterated that Microsoft is tired of being “stuck behind Sony’s dominant PlayStation and the Nintendo Switch.”

“Sony has emerged as the loudest objector,” Smith complained while clarifying that pulling Call of Duty from PlayStation doesn’t make financial sense. “It’s as excited about this deal as Blockbuster was about the rise of Netflix.”

Microsoft claims that blocking the deal or challenging it in court would be “a huge mistake” because it would somehow hurt competition, customers, and game developers. The company claims its deal is all about innovation.

“Think about how much better it is to stream a movie from your couch than drive to Blockbuster,” Smith concluded. “We want to bring the same sort of innovation to the video game industry.”