Zinger Key Points
- Take-Two CEO supports Microsoft's acquisition of Activision Blizzard, stating it would benefit the gaming industry.
- He emphasized that cloud gaming is a distribution method, not a separate business.
Strauss Zelnick, CEO of Take-Two Interactive Software Inc. TTWO is sharing his views on the potential impact of Microsoft Corporation's MSFT proposed acquisition of Activision Blizzard Inc. ATVI.
In an interview with IGN, Zelnick said that the deal would benefit the gaming industry as a whole. "What's good for them is also good for the industry," he said.
See Also: Take-Two To Launch Grand Theft Auto 6 Next Year, Analysts Are Bullish About Outlook
Regarding the recent ruling by the Competition and Markets Authority (CMA) against the deal, which cited concerns about Microsoft's potential dominance in the cloud gaming market, Zelnick reiterated his previous remarks on the topic.
He emphasized that cloud gaming should be seen as a distribution method rather than a separate business. Zelnick argued that while new distribution methods, like cloud gaming, could expand the gaming market, they are still fundamentally part of the larger gaming ecosystem.
"It's important never to confuse a distribution technology with a business model," Zelnick explained.
He also expressed his doubts about the expansion of the market through streaming. "I would love to believe that streaming our titles would massively expand the marketplace. I'm not sure there's any reason to believe that."
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