Microsoft made the shocking announcement on Monday that it plans to acquire gaming giant Activision Blizzard in a $68.7 billion deal, the richest ever for the technology giant and the biggest acquisition in gaming history.

One of the first questions that came up from industry watchers and fans was whether or not the Call of Duty series will become an Xbox-exclusive franchise going forward. That remains to be seen, but here is what we know so far and what history can tell us about what to expect.

Activision Blizzard will stay independent… for now

Microsoft’s buyout of Activision Blizzard is projected to close in 2023, and until then, Activision Blizzard and all of its studios will continue to operate independently. This would suggest that Call of Duty 2022, which is rumored to be a new Modern Warfare game from Infinity Ward, will be released normally as a multiplatform title across Xbox and PlayStation, as well as PC. The company will continue to be led by embattled CEO Bobby Kotick until the deal goes through. After that, it remains to be seen how the management structure at Activision Blizzard might change and how it could affect development pipelines.

What happens in 2023?

But what happens in 2023? That remains to be seen. When Microsoft acquired the Minecraft series, the company did not remove Minecraft from sale on competing platforms. Microsoft continued to support the series with regular updates on Sony and Nintendo platforms, and it’s not hard to see why. Minecraft is a juggernaut, and Microsoft makes a lot of money from publishing the game, even if it’s not on Xbox. For example, Xbox boss Phil Spencer has said that Microsoft is, in fact, one of the largest publishers on PlayStation due to Minecraft, and it could be a similar situation on Nintendo’s systems as well.

Releasing new Call of Duty games on competing platforms could be in the cards for Xbox going forward, but we don’t know yet. Microsoft’s stated goal is to release new games on any platform that supports Game Pass, and right now that doesn’t include PlayStation.

A source told Bloomberg that Microsoft plans to keep putting “some” of Activision’s games on PlayStation, but “some content” will be exclusive to Xbox.

The Warzone effect

Call of Duty is a huge franchise that extends well beyond the annual releases. Call of Duty: Warzone is a free-to-play behemoth and is complemented by new premium releases each year and the Call of Duty Mobile series. Reporter Jeff Grubb guessed that Warzone will remain a multiplatform release after Microsoft’s acquisition of Activision goes through, with the yearly games being exclusive to Xbox.

Looking to the past for answers

Microsoft clearly isn’t taking a one-size-fits-all approach to exclusivity. When the company acquired ZeniMax, it honored existing exclusivity agreements for titles like Deathloop and Ghostwire: Tokyo. But for future titles like Starfield and The Elder Scrolls 6, they will be exclusive to Xbox. Exclusives are one of the ways Microsoft is driving adoption of one of its biggest assets, Game Pass, and big games like Starfield and Elder Scrolls 6 are a way to get more people to sign up to the subscription service. Just recently, Microsoft announced that Game Pass had reached 25 million subscribers.

Spencer has for a long time talked about connecting communities and helping people play together in a more seamless way. Taking Call of Duty off PlayStation would seemingly run counter to that way of thinking, but Xbox is a business at the end of the day.

Previous comments

Xbox Game Studios boss Matt Booty told GameSpot in 2019 that Microsoft looks at exclusives on a case-by-case basis. Asked if an Xbox studio came to management and asked if it could launch a multiplatform game, Booty said this could be allowed under some conditions. “If it made sense I don’t want to rule that out but to be clear, our main mission is going to support Game Pass,” Booty said.

The official word

Officially, neither Microsoft nor Activision management have confirmed whether or not the Call of Duty series will become exclusive to Xbox in the future. The Call of Duty series has been especially tight with PlayStation in recent years with the DLC exclusivity campaigns between the two companies, but whether or not any of that will continue in the future beyond 2022 remains to be seen.

GameSpot staff take

We’re also rounding up opinions from GameSpot writers regarding the situation surrounding Call of Duty becoming exclusive to Xbox or not. We’ll start with some thoughts from GameSpot’s Gabe Gurwin.

“Call of Duty is a bigger brand than anything Microsoft had under its umbrella to date–with one notable exception. It’s bigger than The Elder Scrolls. It’s bigger than Gears of War. It’s even bigger than Halo. The only franchise–in terms of global footprint–that is comparable at Microsoft is Minecraft, and what did Microsoft choose to do there? It kept the game multiplatform, including releasing the spin-off title Minecraft Dungeons on every major system,” Gurwin said. “I expect this same strategy will be applied to Call of Duty, as the money Microsoft would lose by not releasing the next game on competing platforms seems to outweigh the influx of Game Pass subscribers or new Xbox console purchasers it would see. Especially with cross-play being possible, Microsoft would be limiting the player-base in a multiplayer game by making it exclusive, which wouldn’t be an issue with single-player franchises like The Elder Scrolls or Wolfenstein.”

This will no doubt be an ongoing, evolving story, so keep checking back with GameSpot for the latest.

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Following reports, Microsoft has now officially announced it has acquired Activision Blizzard in a deal said to be valued at nearly $70 billion.

“Over many decades, the studios and teams that make up Activision Blizzard have earned vast wellsprings of joy and respect from billions of people all over the world,” Xbox boss Phil Spencer said. “We are incredibly excited to have the chance to work with the amazing, talented, dedicated people across Activision Publishing, Blizzard Entertainment, Beenox, Demonware, Digital Legends, High Moon Studios, Infinity Ward, King, Major League Gaming, Radical Entertainment, Raven Software, Sledgehammer Games, Toys for Bob, Treyarch, and every team across Activision Blizzard.”

Until the deal closes, Microsoft and Activision Blizzard will operate independently, Microsoft said. If and when it does, the Activision Blizzard team will report to Spencer as the CEO of Microsoft Gaming.

Spencer said Microsoft will add “as many Activision Blizzard games as we can” to Xbox Game Pass for PC and console, including new games and catalog titles.

Spencer went on to say that buying Activision Blizzard will help “accelerate our plans” for cloud gaming. “Activision Blizzard games are enjoyed on a variety of platforms and we plan to continue to support those communities moving forward,” he said.

Activision Blizzard has made headlines of late regarding its many controversies and lawsuits involving its corporate culture and leadership under CEO Bobby Kotick. Spencer said Microsoft is “committed to our journey for inclusion in every aspect of gaming, among both employees and players.”

He added: “We deeply value individual studio cultures. We also believe that creative success and autonomy go hand-in-hand with treating every person with dignity and respect. We hold all teams, and all leaders, to this commitment. We’re looking forward to extending our culture of proactive inclusion to the great teams across Activision Blizzard.”

In its own statement, Activision Blizzard confirmed that Microsoft will pay $95 per share to acquire Activision Blizzard, for a total payout of $68.7 billion if the deal goes through. In buying Activision Blizzard, Microsoft will also take ownership of massive franchises like Call of Duty, Warcraft, Diablo, and Overwatch, as well as Activision Blizzard’s eSports endeavors. Activision Blizzard’s numerous studios and almost 10,000 employees will also become part of Xbox going forward, it would appear. Microsoft will have a total of 30 internal game development studios following the acquisition of Activision Blizzard.

Microsoft just made the biggest gaming acquisition in history…by far

As part of the buyout, Microsoft shared an image of the “Gaming Leadership Team,” with Phil Spencer at the top as CEO of Microsoft Gaming. Activision Blizzard CEO Bobby Kotick, who has been in the middle of ongoing lawsuits regarding sexual harassment and discrimination, will remain CEO of Activision Blizzard. Whether or not Kotick is staying on at Activision Blizzard after the deal closes remains to be seen.

“Bobby Kotick will continue to serve as CEO of Activision Blizzard, and he and his team will maintain their focus on driving efforts to further strengthen the company’s culture and accelerate business growth,” Activision said.

“Gaming is the most dynamic and exciting category in entertainment across all platforms today and will play a key role in the development of metaverse platforms,” Microsoft CEO Satya Nadella said. “We’re investing deeply in world-class content, community and the cloud to usher in a new era of gaming that puts players and creators first and makes gaming safe, inclusive and accessible to all.”

Kotick said in a statement: “For more than 30 years our incredibly talented teams have created some of the most successful games,. The combination ofActivision Blizzard’sworld-class talent and extraordinary franchises withMicrosoft’s technology, distribution, access to talent, ambitious vision and shared commitment to gaming and inclusion will help ensure our continued success in an increasingly competitive industry.”

Microsoft’s proposed acquisition of Activision Blizzard is subject to the standard closing conditions and a regulatory review, as well as approval from Activision Blizzard’s shareholders. The deal has already been approved by the boards of directors at Microsoft and Activision Blizzard. If all goes to plan, the deal is expected to close in fiscal year 2023.

The Gaming Leadership Team at Xbox

Xbox Statement On Activision Buyout

“As a team, we are on a mission to extend the joy and community of gaming to everyone on the planet. We all know that gaming is the most vibrant and dynamic form of entertainment worldwide and we’ve experienced the power of social connection and friendship that gaming makes possible.

As we pursue that mission, it is incredibly exciting to announce that Microsoft has agreed to acquire Activision Blizzard.

Over many decades, the studios and teams that make up Activision Blizzard have earned vast wellsprings of joy and respect from billions of people all over the world. We are incredibly excited to have the chance to work with the amazing, talented, dedicated people across Activision Publishing, Blizzard Entertainment, Beenox, Demonware, Digital Legends, High Moon Studios, Infinity Ward, King, Major League Gaming, Radical Entertainment, Raven Software, Sledgehammer Games, Toys for Bob, Treyarch and every team across Activision Blizzard.

Until this transaction closes, Activision Blizzard and Microsoft Gaming will continue to operate independently. Once the deal is complete, the Activision Blizzard business will report to me as CEO, Microsoft Gaming.

Upon close, we will offer as many Activision Blizzard games as we can within Xbox Game Pass and PC Game Pass, both new titles and games from Activision Blizzard’s incredible catalog. We also announced today that Game Pass now has more than 25 million subscribers. As always, we look forward to continuing to add more value and more great games to Game Pass.

The fantastic franchises across Activision Blizzard will also accelerate our plans for Cloud Gaming, allowing more people in more places around the world to participate in the Xbox community using phones, tablets, laptops and other devices you already own. Activision Blizzard games are enjoyed on a variety of platforms and we plan to continue to support those communities moving forward.

As a company, Microsoft is committed to our journey for inclusion in every aspect of gaming, among both employees and players. We deeply value individual studio cultures. We also believe that creative success and autonomy go hand-in-hand with treating every person with dignity and respect. We hold all teams, and all leaders, to this commitment. We’re looking forward to extending our culture of proactive inclusion to the great teams across Activision Blizzard.

Around the world, there is no more exciting venue for fun and connection than video games. And there has never been a better time to play than right now. As we extend the joy and community of gaming to everyone, we look forward to welcoming all of our friends at Activision Blizzard to Microsoft Gaming.”

Developing…

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Reddit co-founder Alexis Ohanian is the latest industry figure to express excitement about the concept of play to earn games. The serial entrepreneur, who has now turned his attention mainly to blockchain and crypto-related projects, is optimistic about the promise of play to earn, predicting that it will dominate the gaming world in just a few short years.

As reported by Business Insider, Ohanian discussed the potential uses of blockchain tech in gaming on a recent episode of the Where It Happens podcast.

“90% of people will not play a game unless they are being properly valued for that time,” Ohanian claimed in the podcast. “In five years, you will actually value your time properly, and instead of being harvested for advertisements, or being fleeced for dollars to buy stupid hammers you don’t actually own, you will be playing some on-chain equivalent game that will be just as fun, but you’ll actually earn value and you will be the harvester.”

Play to earn games generally use crypto tokens instead of a regular in-game currency, meaning that players can theoretically exchange their in-game earnings for real-world currency. The most popular title in the category at the moment is Axie Infinity, a Pokemon-like game where the titular Axies can be bought and sold for RONIN cryptocurrency.

Axie’s in-game economy is already running into issues according to a Business Insider report, which claims that player returns from the game are slowly diminishing over time due to players cashing out earnings instead of investing them back into the game. The game also has a minimum buy-in of around $300, a high barrier to entry for many players, with lower-level players often earning well below minimum wage.

Other industry figures who have expressed interest in the concept of play to earn games include Take-Two head Strauss Zelnick, EA CEO Andrew Wilson, and Square Enix CEO Yosuke Matsuda, whose comments on blockchain games sparked controversy when he predicted that gamers would move away from what he called “play to have fun.”

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