Xbox purchased Bethesda because PlayStation was on the verge of securing exclusivity for Starfield.

Starfield Box Art

During the FTC v. Microsoft hearing, Xbox chief Phil Spencer disclosed that one of the main motivations behind Microsoft's acquisition of ZeniMax, the parent company of Bethesda, was to prevent potential PlayStation exclusivity of the highly anticipated game Starfield. Spencer revealed that Sony often pays competitors to keep games off the Xbox platform, and Microsoft believed it needed to own Bethesda in order to remain competitive.

The acquisition of ZeniMax Media cost Microsoft $7.5 billion and resulted in promises of Xbox and PC exclusives. The company has already released Redfall, and Starfield is scheduled to debut on September 6th as an exclusive title for Xbox and PC. Additionally, the upcoming Indiana Jones game from Bethesda will also be exclusive to Xbox and PC.

While testifying, Spencer refrained from confirming whether Elder Scrolls VI would be an Xbox exclusive, citing the game's distant release date as a factor in making such determinations. However, he previously hinted that it might be an Xbox exclusive, though the game is still years away.

Spencer emphasized Sony's aggressive and hostile competition throughout his testimony, highlighting that Sony retains 30 percent of the revenue from Microsoft's games on their platform and uses those funds, along with other revenue sources, to undermine Xbox's market presence. Microsoft's acquisitions of Bethesda and the ongoing attempts to acquire Activision Blizzard are seen as strategic moves to effectively compete with Sony, even though the cost is substantial, with the proposed Activision Blizzard deal valued at $68.7 billion.

 

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