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America February 22, 2023 2 mins read

Microsoft and Nvidia ink 10-year game deal to calm regulators over Activision merger

America ı By Jackie Allen

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Nvidia

Microsoft and Nvidia announced a 10-year deal to bring Activision games to the gaming platform. This deal would be contingent on Microsoft being allowed to complete its $69 billion acquisition of Activision, a move that has faced opposition.

The Microsoft-Activision merger has been met with skepticism from regulators and competitors alike. They fear that it could harm gamers by weakening the rivalry between Xbox and PlayStation. And are afraid the unintended consequences could be higher prices, fewer choices, and less innovation for millions of players. 

The acquisition could also stifle competition in cloud gaming.

Microsoft and Nvidia pave way for Nintendo

Microsoft has entered into a 10-year licensing agreement with Nvidia designed to reassure the industry. And it will bring "Call of Duty" and other Activision games to the gaming platform.

 Microsoft has also entered into a similar arrangement with Nintendo. Brad Smith, Microsoft President, expressed optimism about the Activision acquisition after the Nvidia deal and the agreement with Nintendo.

Phil Eisler, vice president and general manager of Nvidia's GeForce Now segment, confirmed that Activision titles would not be available on Nvidia's service unless Microsoft acquires Activision. 

Microsoft-owned titles such as "Minecraft" are covered immediately under the 10-year license agreement. Eisler also stated that Nvidia was initially concerned about the Microsoft-Activision deal. But Microsoft made them more comfortable by being open about wanting to enable cloud gaming. And they were working with Nvidia on a licensing agreement.

 Microsoft's deal with Nvidia could help calm regulators' concerns and pave the way for the completion of the Activision acquisition. It also shows Microsoft's commitment to cloud gaming and bringing popular games to its platform. As the gaming industry continues to evolve and grow, it will be interesting to see how these deals impact the industry and the players.

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Jackie Allen

Jackie is a freelance journalist and technology geek. She worked as a telecom project director for AT&T and BellSouth. Before joining the USA Herald she has written books, articles, blogs and whitepapers. Her clients include Samsung and other technology companies.

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