Ryuu96 on 26 June 2023
Keeping in mind our leading priorities (bolstering our presence in PC for North America and Europe and definitively entering Western Mobile), we evaluated 46 companies and applied a set of filters (e.g., scale, regional strengths, corporate ownership, etc.) to identify the most attractive targets. The filtering process resulted in 12 leading targets that we believe are large-scale and most attractive to acquire (see Figure 6).
"we conclude sega is the most attractive next acqusition target"
Key risks:
- Deal execution: It is unclear whether Sega Sammy has appetite to divest their gaming studios, which have represented roughly half of their revenue and operating income. Deal execution would likely be particularly complex.
- Integration risk: Microsoft has limited experience with Japanese acquisitions. Our preliminary integration plan is intended to preserve a degree of cultural & operating autonomy for Sega by having its Consumer division leadership report to Matt Booty. However, there is a risk that this plan may not completely account for cultural and/or other integration challenges.
files.cand.uscourts.gov/files/23-cv-02880_FTC_v_Microsoft/PX1065 REDACTED.pdf
