Sony believes there is no way to compete with Call of Duty

In a court filing Sony admits hit title Call of Duty is “an essential game” that “influences users’ console choice”.

In a Brazilian court filing concerning the upcoming Activision Blizzard and Microsoft merger, Sony stated that the popular FPS series “influences users’ console choice” and is “an essential game: a blockbuster, an AAA-type game that has no rival.”

The Activision Blizzard and Microsoft merger is the largest proposed merger in video games, valued at nearly just under 100 billion AUD. While the rest of the world’s regulatory agencies, such as the United States Federal Trade Commission or the European Commission are still preparing for their upcoming hearings, competition regulators in Brazil started their process back in May, according to an lawyer on the ResetEra forums.

During the review process, Brazil’s regulators asked third parties for inclusionary information about the transaction, including thoughts on the market post-merger and their ability to compete, then compare it to the data sent by Activision Blizzard and Microsoft. Brazil is very transparent about these talks and has published everything from this process online, providing you can read Portuguese.

Call of Duty Warzone. Picture: Activision

In the filings, Sony stated that “The importance of Call of Duty to entertainment, in general, is indescribable. The brand was the only video game IP to break into the top 10 of all entertainment brands among fans, joining powerhouses such as Star Wars, Game of Thrones, Harry Potter and Lord of the Rings.

“Call of Duty is so popular that it influences users’ choice of console, and its network of loyal users is so entrenched that even if a competitor had the budget to develop a similar product, it would not be able to rival it.” Sony continued. Other notes of interest included the massive size of Call of Duty’s development studio, which has nearly 3,000 workers across game development and publishing/distribution — a size that eclipses even other AAA game studios.

Sony also pointed out that even in a “bad year” for the franchise, the Call of Duty brand still outperforms other games by sizeable margins. “Call of Duty: Vanguard (2021), for example, was widely regarded as weaker than previous years’ titles, but was still one of the best-selling games of 2021. In other words, even in a bad year, players remain loyal to the brand and continue to buy the game.”

Written by Junior Miyai on behalf of GLHF.