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Forums - Sony Discussion - Why Sony's Take-Two Aquisition RUMOR seems possible now?

DonFerrari on 14 March 2019

Would they sell more consoles with TakeTwo exclusivity? Yes. Would they make more money buying than not buying? Unlikely.



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Kerotan on 14 March 2019

Yeah buying mainly for GTA makes sense. Think of all the increased PS Plus subs paying $60 a year on top of the shark card money.

Then 2 years later launch GTA V as part of PS Now which is also on pc. I'd guess at least 5m pc users would sub annually just for GTA V. That would be at least 500m a year extra from PS Now.



lightningfunk on 14 March 2019
Azzanation said:

So you would want Sony to spend almost half there Cash on hand for a Publisher/Developers that has the promise of making $6b in however long GTAV has been on the market for? (6 years) Small detail, that $6b is made from GTAV selling over 90m copies, and sorry to say that's not all on Sony's platform.
Google "GTA 5 has now sold over 90 million copies and generated over $6 billion in revenue since its initial release."

Close to $50million of those sales were on PS3 and PS4.

PS5 exclsuives will get even more sales.


What's in it for Take-Two exactly here?

a premium of 30-40% on their Stock.MONEYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYY

With MS investing heavily in Xbox and its eco-system and PC and

How is this related

Nintendo's Switch being the hottest device on the market,

Hottest device when not facing competition from New Consoles and also it is not the platform Take-Two normally takes its games out on

you think Take Two don't see the possible venue on the other platforms?

Almost 75% of Take-Two's sales are from PlayStation platform currently and Xbox is selling bad and Nintendo & Take-Two don't have a good relation meaning Nintendo platforms are incompatible with Take-Two software

They make a fortune selling there games on everything not just 1 platform.

They make most of their money on Playstation

You're going off-topic,Whats in it for Take-Two? -The Moneyyyyyyy,Once they are bought,their stock holders have no relation with gaming as Sony will own them if this goes though

So not only will Sony waste almost half there Cash on hand in just there gaming division,

it wouldn't be wasting cash.Playstation is by far Sony's biggest business

the income will be a lot less than what Take Two is making now so it will probably take 10 years for Sony to make there money back on Take Two's purchase.

Sony could make back that money in 5-10years software wise on Take-Two properties but it will make alot more by selling consoles with exclusivity

Also Take-Two wont have to share there profits on there games.

do you even understand what this is about?

once a company is bought like we are talking about here,all profit will go to Sony not Take-Two,thats what ownership means


So basically I am just asking the question here, What's in it for Take-Two?

Moneyyyyyyyyyyyyyyyyyyyyyyyyyy

They have to cross there fingers that Sony's next platform is incredibly successful

Sony's next platform will easily be atleast a bit successful and you would know this if you follow gaming world.

Again,once Take-Two get paid,they don't have to worry about next gen,They already got the money.This is an all cash deal

The Income they make gets more divided

you really don't know what you're talking about,do you?

They limit there games to 1 or 2 platforms

none of Take-Two's concern


They could possibly lose development freedom

Take-Two is a publisher owning development teams like Rockstar.Development teams as it is have no freedom as they are owned by Take-Two


lightningfunk on 14 March 2019
twintail said:
Why wouldnt Sony just go for a cheaper company like Capcom ?

you serious?



Kerotan on 14 March 2019
twintail said:
Why wouldnt Sony just go for a cheaper company like Capcom ?

Nah they'll save buying Capcom for the PS6. Square Enix too. 



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Azzanation on 14 March 2019
lightningfunk said:
Azzanation said:

So you would want Sony to spend almost half there Cash on hand for a Publisher/Developers that has the promise of making $6b in however long GTAV has been on the market for? (6 years) Small detail, that $6b is made from GTAV selling over 90m copies, and sorry to say that's not all on Sony's platform.
Google "GTA 5 has now sold over 90 million copies and generated over $6 billion in revenue since its initial release."

Close to $50million of those sales were on PS3 and PS4.

PS5 exclsuives will get even more sales.

You think PS5 will generate another 40m sales to match that of GTAV's Multiplat sales? You have incredibly high hopes there.

 
What's in it for Take-Two exactly here?

a premium of 30-40% on their Stock.MONEYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYY

Sure for how long will that last? Stocks change all the time and except the fact they now have to make just as much money while being limited to 1 platform.


With MS investing heavily in Xbox and its eco-system and PC and

How is this related

EVERYTHING! The fact that the competition is growing which will increase Take-Twos revenue even further. 


Nintendo's Switch being the hottest device on the market,

Hottest device when not facing competition from New Consoles and also it is not the platform Take-Two normally takes its games out on

Nintendo Switch is another platform with high potential of future Take-Two games which = more money.

 

you think Take Two don't see the possible venue on the other platforms?

Almost 75% of Take-Two's sales are from PlayStation platform currently and Xbox is selling bad and Nintendo & Take-Two don't have a good relation meaning Nintendo platforms are incompatible with Take-Two software

Xbox is behind in console sales this gen, however XB2 isn't out so yet sooo.. umm what was the point here? Pretty sure this decision is something for next gen not this gen.


They make a fortune selling there games on everything not just 1 platform.

They make most of their money on Playstation

You're going off-topic,Whats in it for Take-Two? -The Moneyyyyyyy,Once they are bought,their stock holders have no relation with gaming as Sony will own them if this goes though

Take-Two already make bucket loads of money without having to share it with a mother company. If Sony buy them than Take-Two earn less.

 

So not only will Sony waste almost half there Cash on hand in just there gaming division,

it wouldn't be wasting cash.Playstation is by far Sony's biggest business

Erm that doesn't mean Sony should throw away basically half there cash for 1 company. MS have over $100b in cash, doesn't mean they just throw it away at 1 company who makes 1 game every 5 years. While the other games sell no where near as much.

 

the income will be a lot less than what Take Two is making now so it will probably take 10 years for Sony to make there money back on Take Two's purchase.

Sony could make back that money in 5-10years software wise on Take-Two properties but it will make alot more by selling consoles with exclusivity

What if Take-Two falls apart? You know how much damage that would do to Sony if they get brought out and simply fail.. That's Sony's life blood being spent on 1 brand that has a lot riding on there shoulders. Also 5 to 10 years is a hell of a long time. Gaming in 5 to 10 years might not even be the same.


Also Take-Two wont have to share there profits on there games.

do you even understand what this is about?

once a company is bought like we are talking about here,all profit will go to Sony not Take-Two,thats what ownership means

I am sure Take-Two want all there profits to go to Sony (Sarcasm). Again, what's in it for Take-Two?

 
So basically I am just asking the question here, What's in it for Take-Two?

Moneyyyyyyyyyyyyyyyyyyyyyyyyyy

They make heaps of money without being owned by Sony. What's better is they don't have to share it with Sony, What's in it for Take-Two?

 

They have to cross there fingers that Sony's next platform is incredibly successful

Sony's next platform will easily be atleast a bit successful and you would know this if you follow gaming world.

Again,once Take-Two get paid,they don't have to worry about next gen,They already got the money.This is an all cash deal

What if the next Xbox and Nintendo console blows the competition apart? That's a lot of revenue lost. If Sony buy Take-Two than they better hope MS don't make another 360 competitor and Nintendo don't have another Wii.


The Income they make gets more divided

you really don't know what you're talking about,do you?

Take-Two don't need a mother company leeching off there profits they make. 

 

They limit there games to 1 or 2 platforms

none of Take-Two's concern

They would want to sell and better GTAV's 90m units sold, and I am sure the share holders and suits at Take-Two want to aim higher not go backwards. 

 
They could possibly lose development freedom

Take-Two is a publisher owning development teams like Rockstar.Development teams as it is have no freedom as they are owned by Take-Two

You don't know what Sony or any companies intentions are once they own something. Especially when a company spends almost half there bank balance on them, I am sure they would want to stick there noses in.

I answered all your replies below with diangle texts.

Thankfully its a rumour that's been debunked, For the gamers sake, we are glad this wasn't to be.. yet. Take-Two is too big and don't need a mother company to monitor them. 

Sony are better off spending there cash money on increasing there Cloud streaming service since that's the way of the future rather than waste it on 1 Company which as proven over time, no company sits at the top forever.. well unless you are Nintendo but they do there own things so there an exception to the rule and they have witness some heavy ups and downs.

Last edited by Azzanation - on 14 March 2019

lightningfunk on 14 March 2019
Azzanation said:

I answered all your replies below with diangle texts.

You think PS5 will generate another 40m sales to match that of GTAV's Multiplat sales? You have incredibly high hopes there.

No,i think GTA6 could sell around 50-60million on PS5 if exlcusives

Sure for how long will that last? Stocks change all the time and except the fact they now have to make just as much money while being limited to 1 platform.

SONY will pay them 40% premium on cash for the full share,after that current Take-Two Shareholders will not own any shares so they don't have to worry about stock price.They will have the money in hand.This is a cash deal


EVERYTHING! The fact that the competition is growing which will increase Take-Twos revenue even further.

Take-Two's revenue won't increase much further as there is a limit of around 100-150million consoles.These console sales can be on 1 platform or divided between 2 platforms but not grow much

Nintendo Switch is another platform with high potential of future Take-Two games which = more money.

really?do you even follow gaming?

tell me how no Red Dead or GTA on Nintendo Switch translates into high potential and more money for Take-Two


Xbox is behind in console sales this gen, however XB2 isn't out so yet sooo.. umm what was the point here? Pretty sure this decision is something for next gen not this gen.

it is cause,GTA like Final Fantasy and Metal Gear is a more Playstation centric game which sells more on Playstation platforms so even if XBOX TWO sells well,Take-Two sales will be low and with Sony's stronger brand name and dominating position and already built up 1st party Branded games,XBOX TWO's sales will be lower compared to PS5


Take-Two already make bucket loads of money without having to share it with a mother company. If Sony buy them than Take-Two earn less.

Once Take-Two is bought by Sony,Take-Two will earn the same 

Erm that doesn't mean Sony should throw away basically half there cash for 1 company. MS have over $100b in cash,doesn't mean they just throw it away at 1 company who makes 1 game every 5 years.

XBOX is Microsoft's minor business and they have spent $20billion on XBOX and still lag behind,thats why Microsoft has comparatively stopped spending so much money on XBOX compared to before.Don't forget what Microsoft paid for Final Fantasy 13 and GTA4 part exclusives,even then Microsoft came behind Sony last gen

Playstation is Sony's largest business,it is essential for their survival and profitability,thats why they need this

While the other games sell no where near as much.

Red Dead 2 will easily sell upward of 40-50million copies,it has already sold 20million 

What if Take-Two falls apart? You know how much damage that would do to Sony if they get brought out and simply fail.. That's Sony's life blood being spent on 1 brand that has a lot riding on there shoulders.

that's always a risk everybody takes in everything.

what if tomorrow there is an earthquake,there is always risk

Also 5 to 10 years is a hell of a long time. Gaming in 5 to 10 years might not even be the same.

things just don't change like that,you would know it if you would follow gaming industry more closely or life in general

also even if things change,SONY would just become a publisher and still sell loads of software and make money


I am sure Take-Two want all there profits to go to Sony (Sarcasm).

well that's what happens when acquisitions happen,i don't think you are aware of acquisition or business ownership

Again, what's in it for Take-Two?

Loads of Moneyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyy


They make heaps of money without being owned by Sony.

this i agree and its the reason sony would profit from this deal

What's better is they don't have to share it with Sony,

if this deal went through,Take-Two won't be sharing anything with SONY,everything will go to SONY 100%

What's in it for Take-Two?

Moneyyyyyyyyyyyyyyyyyyyyyyyyyyyyy


What if the next Xbox and Nintendo console blows the competition apart?

again things just don't happen just out of the blue,things build up and have to made like Sony's hard work though the PS3 years to make strong 1st party exclusives lineup.

Sony's success with PS4 is no luck,its close to 20years of hard work by SONY.

so stop asking stupid what if questions,you would know better if you followed gaming more closely

That's a lot of revenue lost. If Sony buy Take-Two than they better hope MS don't make another 360 competitor and Nintendo don't have another Wii.

360 was a success because of SONY's mistakes not because of MS mostly and Wii was no competition mainly to PS360


Take-Two don't need a mother company leeching off there profits they make.

again SONY won't be leaching off Take-Two's profits

infact Take-Two as a publisher is leeching off Rockstar and 2K's profits

 

They would want to sell and better GTAV's 90m units sold, and I am sure the share holders and suits at Take-Two want to aim higher not go backwards.

once Take-TWO is owned by SONY,Take-Two won't have any shareholders and Suits.


You don't know what Sony or any companies intentions are once they own something. Especially when a company spends almost half there bank balance on them, I am sure they would want to stick there noses in.

really?they are a business,their intention is profit like all other businesses and you can only do that by producing good quality products

Take-Two owns Rockstar,i'm sure they stick their noses in too


CuCabeludo on 14 March 2019

people forget you can't buy something that's not on sale.



Shiken on 14 March 2019
DonFerrari said:
Would they sell more consoles with TakeTwo exclusivity? Yes. Would they make more money buying than not buying? Unlikely.

^This

 

This has been my point from the start.  No matter how good it looks on paper for them, it would be a far cry to break even alone with this acquisition.



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Azzanation on 15 March 2019
lightningfunk said:

Sip

I know you seem really passionate about this move, but its not as good as it sounds in reality. 

1st - Sony already make a fortune with Take-Two as it is with the giant sales on PS platforms.. so the money isn't that much greater than if they went out brought them which would be considered a lot of money for Sony to spend as a corporation. Not only do you choke hold the games from Take-Two which means Take-Two sell less units overall, it means the profits wont be as high as they are now. 

2nd - You never buy companies when there at there peak which would be the case here thanks to Rockstar etc. Its corporate suicide to spend so much at such a peak time. They need to play is smart and wait for companies to devalue than you jump on board. Look at MS and the studios they brought, they didn't just go out and buy the biggest studios in the world at there very best, they brought what would have been good prices and talent for the money. So the companies under them can gain value and grow over the course of being successful which will increase MS stocks. Take-Two is already extremely successful so there value as a company wont go up as much, but they can drop extremely low if mistakes happen or they fall apart. 

3rd - Its a giant slap in the face to the industry and gamers alike who play there games, we are not talking about 1 or 2 million gamers missing out here, we are talking about the likes of 40m+ GTA fans missing out due to this idea. That's not a good image to have. And definitely not a good financial one either. We know Sony well enough now that anything they own will be locked, they wont share it with others, maybe PC.. big maybe.. Unless Sony do what MS do with Minecraft and make the big games multiplat so they can make the most amount of profit to earn back there spending's. But its Sony, I highly doubt they would.

4th - You don't make these big purchases on the brim of a new generation especially when the competition is going to be fierce. Don't expect Xbox to fall over the starter line next gen and don't expect Nintendo to make another WiiU mistake. Next gen is going to be big for all 3 as it looks promising on all sides. Take-Two joining Sony sounds good only on Paper but if the next Xbox outsells the next Playstation console or even if its on Par or close than Take-Two already lost in the deal because the more customers the industry has = more sales potential they could have earned overall, but not if you are tied to one or two platforms.