Microsoft had at one point considered acquiring Square Enix, according to a new report from The Verge citing details that have come to light during Microsoft’s court case with the FTC.
For the past few days, Microsoft has been locked in court battles with the FTC over its proposed Activision Blizzard acquisition. The case has surfaced some rather interesting information about both Microsoft, and Sony who has been the biggest objector to the acquisition’s approval.
Details have been rather telling for both console companies. Sony apparently never really believed there was any worry of Call of Duty leaving PlayStation. Despite repeated expressions of that fear. Microsoft meanwhile had interest in acquiring quite a few large publishers. Just earlier this week it was revealed that Microsoft wanted to acquire both Sega and Bungie. Although for potentially very different reasons. Now it’s been revealed that Microsoft had big interest in buying Square Enix, too.
One might assume this would be a play for locking down SE exclusives. But that doesn’t seem to have been Microsoft’s intention.
Microsoft wanted to buy Square Enix to strengthen Xbox Game Pass on mobile
Xbox Game Pass has been a big part of Microsoft’s gaming strategy for the last couple of years. More and more it’s becoming increasingly evident that it’ll continue to be a big part of the future Xbox strategy.
It’s already a good value for gamers. Especially when you factor in Xbox Game Pass Ultimate, which gives you access to downloadable games for both PC and console. In addition to games you can stream on your mobile device and elsewhere.
Still, Xbox Game Pass on mobile seems to need a little more beefing up. And buying Square Enix, Microsoft believed, could help do that. Square Enix has a strong presence on mobile already. Offering ports and remasters of many of its famed RPG titles and some mobile-only games. Microsoft wanted to leverage that portfolio of titles. “Combining Square Enix’s robust mobile-native portfolio with our own could potentially help us create a mobile-native Xbox Game Pass SKU,” the Microsoft document says.
Microsoft also hoped to strengthen its position in Asian markets
When it comes to Asian markets Microsoft’s Xbox presence is noticeably weaker than competing companies Sony and Nintendo. Buying up a Japanese game publisher with a long history of titles in the region could have helped gain a better foothold.
The report also notes that Microsoft wanted to bolster its Xbox Game Pass catalogue with Square Enix’s long list of popular releases.