Microsoft Purchases Bethesda and ZeniMax in Gigantic Deal

In what is the second-largest gaming company acquisition of all time, Microsoft is in the process of acquiring Bethesda Softworks and its parent company, ZeniMax Media, for a cool $7.5 Billion US dollars pending approval from the Department of Justice Antitrust division. Rarely in the gaming industry do we see purchases this large, so it’s a landmark decision sure to bring some buzz at the turn of the eighth console generation. It’s second only to Tencent’s acquisition of Supercell, the company behind freemium mobile games Clash of Clans and Clash Royale which, at one point, generated $2.4 Billion in revenue a day.

Making this big-time move is going to move mountains within the industry. In a console race where exclusives are one of the biggest factors in a buyer’s decision, it’s safe to say the market has been considerably curved with this acquisition. Bethesda is responsible for some of the most popular franchises, such as Elder Scrolls and Fallout, but this move also secures ZeniMax’s other holdings, such as iD Software, Arkane Studios, and Tango Gameworks.

So, what does this mean for consumers? Are all of these franchises going to exclusively play on Microsoft’s Xbox One X/S from now on? The answer is no. Bloomberg reports that Phil Spencer, EVP of Gaming, states that future titles will be decided “case-by-case” for release on PS5 and Switch. I’d surmise that existing IPs will see their releases on these consoles, but Microsoft might just have a tight-grip on Starfield now.

The initial reaction to this news has been a modicum of shock, but it’s an understandable play to regain relevance for Xbox. It’s no secret that PS4 is held in better regard than the Xbox One, but the tables could easily turn in Microsoft’s favor after this investment. So, how will Sony and PlayStation size up to a takeover this monumental? We’ll have to see, as the new console season is bound to bring us more surprises such as this one.