stabface on 01 March 2014
| stabface said: The deal has its pros and cons Strengths -Having an exclusives deal lets Microsoft have its cake and eat it to. In other words it gets exclusives but doesn't have to dig down and spend to just acquire a studio. If Microsoft is thinking about exiting the gaming industry, then you would probably see more of these kinds of deals as opposed to an acquisition of studios. -They get developers to work more effectively, bc they cci are just having to know one platform Weaknesses -It would probably make sense to repeat the agreement for a set number of years, but if the agreement lasts longer than say 3 years or so, then EA will face the risk of being stuck into an agreement with a failing platform. So the greater the length of time the agreement lasts, the more risk EA faces. So, EA will make Microsoft pay well for the increase in risk. If this lasts 4-5 years, then microsoft will be spending way more than they should, way more than the exclusives will be worth - |
The implications of my comment suggest that EA will go multiplat, or that msft will have renegotiate, and bad pay EA more for the privelage of exclusive games, in the next 3-5 years.
