Sony and Microsoft sign a 10-year Call of Duty on PlayStation deal; in 2022, Microsoft offered to keep “existing Activision console titles on Sony” through 2027

The Verge 2023-07-18 Tom Warren

Context & Ripple Effects

The agreement resolves a question that had been unsettled since reports that Microsoft would honor only the next three Call of Duty releases on PlayStation, with longer-term plans unclear. Microsoft later argued to the UK CMA that a 10-year term was sufficient for Sony to build alternatives.

It also follows Microsoft's binding 10-year commitment to bring Call of Duty to Nintendo consoles on the same-day basis. The Sony deal turns a central point of platform contention into a defined, long-duration distribution commitment.

First-order effects

PlayStation players retain access to Call of Duty for 10 years under the Sony-Microsoft agreement, replacing uncertainty around the franchise's availability on Sony hardware.
Microsoft limits its ability to make Call of Duty a near-term PlayStation exclusive, while Sony gains contractual continuity for a major third-party title.

Second-order effects

The deal weakens the immediate case that Call of Duty availability alone will differentiate Xbox from PlayStation, shifting competition toward services, pricing, hardware, and other content.
A formal PlayStation commitment complements Microsoft's Nintendo agreement, making broad franchise distribution a more visible part of its Activision-related strategy rather than a console-exclusive lever.

Third-order effects

If such commitments become a recurring response to platform-consolidation concerns, major game acquisitions may increasingly be paired with long-term access remedies rather than simple exclusivity promises.
The case illustrates the 10-year access term Microsoft presented to the UK CMA as an industry compromise: long enough to preserve a rival platform's catalog, but finite enough to retain future strategic flexibility.

The trend: Large game-platform owners are balancing the value of exclusive content against long-term cross-platform access commitments tied to major acquisitions.

Discussion

Gameranx Ryan Parreno on x
PlayStation Signs 10 Year Deal With Microsoft For Call of Duty
@xboxp3 Phil Spencer on x
We are pleased to announce that Microsoft and @PlayStation have signed a binding agreement to keep Call of Duty on PlayStation following the acquisition of Activision Blizzard. We look forward to a future where players globally have more choice to play their favorite games.
@bradsmi Brad Smith on x
From Day One of this acquisition, we've been committed to addressing the concerns of regulators, platform and game developers, and consumers. Even after we cross the finish line for this deal's approval, we will remain focused on ensuring that Call of Duty remains available on...
@tomwarren Tom Warren on x
Update: Microsoft has confirmed to me that Sony's Call of Duty deal is for 10 years https://www.theverge.com/...
@stephentotilo Stephen Totilo on x
Sony has confirmed with me/Axios that PlayStation's Call of Duty deal with Microsoft (pending Activision purchase) is for 10 years I'm looking forward to still being on this beat in 2033 and covering the next round of Nintendo, Nvidia and Sony contract negotiations for CoD)
@matthewstoller Matt Stoller on x
Oh look Microsoft is already foregoing revenue to boost Xbox using Call of Duty, even before the deal is closed! https://www.tweaktown.com/...
@fosspatents Florian Mueller on x
10 years it is. Much better for Sony now if the deal closes because the alternative would be to negotiate a new CoD deal soon with ABK, whose management would deal with Sony professionally but not really like them if the deal fell through.
@fosspatents Florian Mueller on x
The terms are not known for now. Maybe some media reports will say more, or some final regulatory decision somewhere. For now, it's unclear whether it's the deal that was previously offered. But a deal is a deal. And Sony itself knew CoD was going to remain on PlayStation anyway.
@deeketweak Derek Strickland on x
Under Xbox, the Call of Duty franchise will grow in ways that weren't possible in the Activision regime. Xbox is roughly 2x bigger than Activision, with a thriving services/software ecosystem and expansion-driven platform. It'll be hard to predict exactly what happens now.
@fosspatents @fosspatents on x
There were two complainants. One has now signed a CoD deal with Microsoft. The other testified in U.S. court that cloud gaming competes with console and PC games, i.e., is not a relevant antitrust market. No more need for to worry. Time to move on.
@deeketweak Derek Strickland on x
Once Call of Duty is integrated into Xbox revenues, and Game Pass adds many millions more subscribers, we could see Xbox expand in ways that we haven't seen for a long time. The crazy thing is Xbox is set up to preserve the past (BC) as it pushes into the future. One thing...
@deeketweak Derek Strickland on x
Since Activision will act as a limited integration company, I'm curious if Sony will be signing PLAs (Publisher Licensing Agreements) with Activision or with Xbox. Mojang is an Xbox Game Studios team so it makes sense the PLA would be PS x XGS.
@tomwarren Tom Warren on x
thinking back to February when Microsoft was waving around a contract for Sony to sign a Call of Duty deal and Jim Ryan was telling Bobby Kotick he just wanted to get the Activision acquisition blocked. My how things have changed both on the regulatory side and with Sony signing …
@nickstatt Nick Statt on x
It really does feel like the vast majority of the hand-wringing over this deal was based on hypothetical scenarios that have all along been highly unlikely. Though it's going to be very interesting to see what happens with next-gen consoles / once the deal expires.
@fosspatents Florian Mueller on x
@tgrfan42069 The @CATribunal could help the @CMAgovUK and Microsoft tomorrow to figure out a solution that enables deal closing. Whether it will make that effort is not known, given that the agenda is case management, i.e., discussing how to proceed with the appeal.
@fosspatents Florian Mueller on x
The console market theory of harm was dead in 42 countries with almost 2.9 billion people: - 40 where the deal had been cleared by regulators - 1 where the judiciary allowed closing (U.S.) - 1 where the regulator dropped the theory while pursuing a cloud theory (UK) 🧵2/3
@samuelstolton Samuel Stolton on x
Microsoft Vs Sony battle over Activision on hold, after firms sign a deal to keep Call of Duty on PlayStation. Eyes turn to the U.K's Competition Appeal Tribunal tomorrow, where joint applications to adjourn legal proceedings will be considered as CMA & MS continue negotiations
@fosspatents Florian Mueller on x
You'd have had to be more concerned about the terms of the deal being good for Xbox at other stages of the process than now, where Microsoft was able to do the deal from a position of strength after all those decisions enabling the closing of the deal, foreseeably also in the UK.
@domsplaying Dom on x
Makes sense, as Sony now sees the writing on the wall. One curiosity to me is no mention of time frame, where I believe executives specifically said 10 years with all the other CoD deals. Either way, hurdles in the way of MS ActiBlizz closing soon are being cleared, one by one.
@benjisales Benji-Sales on x
Microsoft and Sony have signed an agreement to keep Call of Duty on PlayStation The final pieces are coming together for the acquisition to officially close. Could happen any day now
@fosspatents Florian Mueller on x
Better late than never. #Sony kept a low profile in recent months with respect to the acquisition of ABK, markedly different from “I don't want a new CoD deal. I just want to block your merger.” Now this constructive solution has been reached. 🧵1/3
@kelllombardi Kelly on x
Sometimes when I tell people I work at Xbox they'll say “oh I have a PlayStation I'm sorry” My answer is always the same: I love to connect with other gamers, no matter where they play 🤍
@thurrott Paul Thurrott on x
This is what victory looks like.
@bondsarah_bond Phil Spencer on x
Another step in our mission to bring everyone who loves to play, together. 💚🙅🏽‍♀️🥹 Quote Tweet · We are pleased to announce that Microsoft and @PlayStation have signed a binding agreement to keep Call of Duty on PlayStation following the acquisition of Activision Blizzard. We loo…
@parismarx Paris Marx on x
We don't have the terms of the deal yet, but I'll be watching to see if this is just selling CoD on Playstation or also putting it on PS Plus. Either way, this means the MS-ABK deal is happening and it will have major implications for the games industry. https://www.theverge.com/…
@fxshaw Frank X. Shaw on x
oh just a quiet sunday morning here why do you ask
@hoeglaw Richard Hoeg on x
No matter how one feels personally about someone else, the best way to understand business news is to understand: the money always wins.
@tomwarren Tom Warren on x
BREAKING: Sony has agreed to a binding agreement with Microsoft to keep Call of Duty on PlayStation. Details here: https://www.theverge.com/...
@tomwarrenuk Tom Warren on threads
Microsoft has confirmed to The Verge that Sony's 10-year Call of Duty deal is limited to CoD. Microsoft originally offered to keep “existing Activision console titles on Sony”, including future...
r/technews r on reddit
Sony agrees to 10-year Call of Duty deal with Microsoft

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