Microsoft will consider more developer acquisitions because it’s harder to build studios

By Sherif Saed
23 September 2020 09:55 GMT

Microsoft is evidently not done expanding its first-party studio catalogue.

When Microsoft announced it had acquired four studios in June 2018, and two more by the end of the year, some pundits felt it was enough; the jolt its first-party catalogue needed. A year later, Microsoft bought even more studios, and many said the same thing.

This week, the software giant paid $7.5 billion for ZeniMax, a sale that includes Bethesda, id Software, Arkane and many other studios, doubling the size of Microsoft’s first-party group. And that one, too, may not be the end of it.

Speaking to Cnet, Microsoft CEO Satya Nadella said that his company would consider buying even more studios in the future.

“We’ll always look for places where there is that commonality of purpose, mission and culture,” he said.

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Nadella’s vision for the Xbox brand is for it be a much larger player in entertainment, and that means software.

“Content is just the incredible ingredient to our platform that we continue to invest in,” he said, pointing to the company’s continued investment in Xbox Game Pass.

Nadella also explained why Microsoft is adamant on buying already established studios. “You can’t wake up one day and say, ‘Let me build a game studio,'” he said.

“The idea of having content is so we can reach larger communities.”

So far, Microsoft has had at least one major acquisition every year since 2018, so next year, it may bring more independent studios into the fold.

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