Story Highlights
- New documents have revealed that Microsoft offered Sony a 15-year Call of Duty deal.
- This is more than the previously reported figure of ten years.
- Sony turned this proposal down, leading to Microsoft requesting documents regarding internal negotiations about this offer.
- The FTC has also given an extension to Sony concerning the reply to the subpoena.
Microsoft’s acquisition of Activision has taken all sorts of twists and turns in the last few months. Arguably, the only thing that has remained constant in this ordeal is Sony’s opposition to the industry-changing deal.
Call of Duty has been the prominent bone of contention for the company, with Microsoft previously offering a 10-year agreement to Sony for the franchise.
Now, it turns out that this deal was actually much longer, as Microsoft proposed a 15-year agreement to Sony regarding Call of Duty.
This deal allowed Sony to license the franchise first for five years, then for ten more years. Such durations are unknown in the industry and as a result, Microsoft has demanded internal documents concerning these negotiations.
(FYI) Microsoft says that Sony's motion should be denied and provides 10 pages of arguments.
Source:https://t.co/g4G80lUhSd
Credit to IDas for the summary 👏 pic.twitter.com/e0WUjg5tUa
— Alan Feely (@IdleSlothVGT) February 16, 2023
Recently, Microsoft’s purchase of Activision has had to go through some roadblocks. The competition and Markets Authority (CMA) of the UK became the first regulator to officially denounce the deal. Even though most gamers were in favor of the deal, the authority still ruled against the acquisition.
Probably the biggest reason for this hurdle has been Microsoft’s gaming counterpart, Sony. It has been the firmest opposition to the deal, telling the CMA how it will give Xbox an unfair advantage. Hence, there has been some back and forth between the two, with Microsoft issuing a subpoena and requesting documents.
Call of Duty has been the apple of discord, with the CMA also recommending Microsoft sell it off to complete the acquisition. But, Microsoft has been hell-bent on keeping it and has offered deals to Sony for the FPS IP. Albeit, that has not been easy with the Japanese giant not picking up Activision CEO Bobby Kotick’s calls.
New documents have come to light that tells us more about the Call of Duty deal Microsoft offered to Sony. As it turns out, the American tech giant actually proposed a deal spanning 15 years to Sony for the franchise. Contrary to previous reports, this is five years more than the ten years we heard of before.
Microsoft put forward an offer that would license Call of Duty to Sony for 15 years. This agreement would first last for five years, and then it would go on for another ten years. Hence, bringing the total period of this proposal to a remarkable 15 years.
As Microsoft mentions in the report, such a long duration for a deal is unprecedented in the industry. But, as we know, Sony turned this offer down, much to the company’s surprise. Due to this rejection, Microsoft has asked Sony for documents regarding the internal consideration of this offer.
(FYI) Sony wants more time for the FTC's subpoena until March 1st
The FTC seems to agree with Sony.
Source:https://t.co/SOGotAmiYd
Credit to Idas for the find 👏 pic.twitter.com/sSJwCSgnxZ
— Alan Feely (@IdleSlothVGT) February 16, 2023
This is one of the main reasons for the subpoena Microsoft issued to Sony, which the latter is fighting. Finding the cause for refusal is one of Microsoft’s demands, and the subpoena is how they want access to the documents. However, Sony isn’t quitting that easily and is actively resisting giving up any important documents.
In new documents, Sony has asked for an extension until March 1st to bring forth documents to the FTC. Previously, the date for Sony to make its move regarding this subpoena was February 15, 2023. However, the FTC has now agreed to extend this date regarding the complaint counsel subpoena to March 1st.
So, it seems like Sony is trying its best to delay and it is working, at least for now. At the end of the day, this acquisition and all the drama around it circles back to Call of Duty. Hopefully, whatever way this ends, it is better for players.
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