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Microsoft compares Xbox console sales to PlayStation and Nintendo Switch sales

Several months after the announcement of Microsoft’s purchase of Activision Blizzard, the statement continues to make headlines related to... Eduardo | 31. December 2022

Several months after the announcement of Microsoft’s purchase of Activision Blizzard, the statement continues to make headlines related to the purchase.

Due to the obstacles presented as the monopoly lawsuit imposed by the Federal Trade Commission (FTC). Now the tech giant wants the deal to be expedited, showing comparative sales data to prove that the purchase does not pose a threat.

Microsoft is determined to prove that the acquisition of Activision Blizzard does not pose a monopolistic threat. That is why they have prepared a document to respond to the FTC’s complaint, detailing Xbox’s position in the video game market.

They desire to be able to demonstrate that it does not pose a threat to their competition.

Microsoft justifies itself through sales comparisons

Microsoft states that only 16% of the total number of consoles sold in 2021 corresponds to the sale of Xbox One and Xbox Series consoles. While its main market rivals easily surpass it, PlayStation with 34% and Nintendo with 50% of total sales.

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Credits: Microsoft

The document does not provide specific data on the number of Xbox consoles sold during this period. But they have exposed an approximate figure of total sales totals collected, with the values shown in the graph.

  • Nintendo Switch: 23.67 million
  • PlayStation: 14.7 million
  • Xbox: 8.97 million

Remember that different companies are not always 100% transparent when showing their sales numbers. However, as Microsoft states in its press release, Xbox console sales figures in 2021 will likely be around 9 million.

Microsoft’s position on the lawsuit

Microsoft has always tried to show everyone its idea is not to monopolize video games. Instead, it would try to improve many competitive aspects of them.

Besides, it is no secret that Sony also has many exclusive games for its platforms, and many of them are, indisputably, of better quality.

The document presented by Microsoft states:

“Maintaining broad availability of Activision games is good for both the business and gamers. A substantial portion of Activision’s financial value to Xbox comes from its regular business, including the continued sale of Call of Duty – its most popular game – on Sony’s PlayStation.”

Then, the document also points to the fact that it doesn’t make sense to spend a ton of money on acquiring Activision if it would affect your company’s revenue stream.

“Paying $68.7 billion for Activision doesn’t make sense if that revenue stream disappears. Nor would it make sense to degrade the gaming experience and alienate the millions of Call of Duty players who play together using different types of consoles. The impact on Xbox’s reputation would not outweigh the theoretical economic benefit of taking Call of Duty away from its competitors.”

At the end of the day, what we all want is for there to be a solution to this conflict that doesn’t affect gamers because gamers are the ones who bring video games to life.

In truth, neither Microsoft nor Sony are companies that have turned their backs on fans and gamers. So, let’s hope that the end of this soap opera will be soon and that it will have a happy ending for all parties.

Header: Microsoft