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Microsoft plans to launch a new app store for games on iPhone and Android smartphones next year, subject to regulators clearing the $75 billion acquisition of Activision Blizzard, according to a Microsoft Financial Times report. “We want to be able to bring Xbox and content from us and our third-party partners to any screen that anyone wants to play,” Microsoft Gaming CEO Phil Spencer said in an interview. The Microsoft Activision Blizzard deal is coming under heavy criticism from regulators who see the deal will affect competition in the market. However, Spencer says the move will help increase competition in smartphones: "the biggest platform people play games on" and one that Apple and Google have a strong grip on. (READ ALSO: US sues Google for dominating online advertising market)
Gaming is a huge industry, with around 2.8 billion consumers worldwide, and it is expected to grow to over 4.5 billion by 2030. Here, Microsoft itself admits that a larger portion are those who play games on smartphones. (ALSO READ: Microsoft aims to expand into mobile gaming with Activision King acquisition)
Microsoft's acquisition of Activision Blizzard is an important step in conquering this market. Microsoft's current lack of mobile games was an "obvious hole in our capabilities" that it hopes Activision Blizzard will fill, Spencer added.
The tech giant says there's too much friction between creators and players these days; Mobile app store policies and practices limit what and how creators can offer games, and also limit what and how players can play them. "The world needs open app marketplaces, and that needs open app stores. The principles we're announcing today reflect our commitment to that goal," the company wrote in a blog post.
