On Monday, Microsoft announced that it will buy ZeniMax Media for $7.5 billion. The company has taken this decision to make its Xbox series more powerful. As you already know Xbox is one of the leading gaming consoles in the market. But it is facing stiff competition from other new gaming consoles. For this very reason, Microsoft is taking drastic steps to make level up their consoles.
Just so you know ZeniMax happens to be the parent company of Bethesda Softworks which is a publisher of hit game franchises such as Doom, Elder Scrolls, Fallout, and Dishonored.
In a statement given by Microsoft, they said that Bethesda has an excellent collection of technology and games. They are also talented and holds a record for commercial success.
From the above statement, it is quite clear that Microsoft is trying to take advantage by buying off the company.
The company is expected to pay the amount in cash. The deal will be closed by mid-2021.
This big decision is taken by Microsoft at a time when they are preparing to launch their two new consoles Xbox S and Xbox X series. Both the consoles are expected to arrive by mid-November. It is their first gaming console update, since 2013.
In case, you didn’t know Sony is also planning to launch its PlayStation 5 in November. This means both companies will be up for a tough battle in the market. During the pandemic, the gaming industry is thriving like anything and both the tech giants are trying to take full advantage of the situation.
Satya Nadella, the chief executive officer of Microsoft have said that gaming is one of the biggest and most expensive industries in the world. That’s because people rely on gaming whenever they have nowhere to go. It helps them to connect, play, and socialise with friends.
He also said that Bethesda is a company that has been extremely successful in the gaming industry. Combining the powers of both companies will help them to grow and become stronger.
According to Colin Sebastian, Baird analyst of Microsoft have said that buying ZeniMax will help Microsoft in many ways.
This will strengthen Xbox games and consoles. As a result, they will be able to give stiff competition to other gaming consoles in the market.
There is still a chance that Bethseda will be publishing games for Sony PlayStation that are already under development.