Xbox |OT|

[Ryuu96]

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