Sega and Microsoft have formed a next-gen tech ‘alliance’

By DeAngelo Epps Published November 1, 2021

Microsoft and Sega are joining forces on a “strategic alliance.” According to a new press release from Sega, the two companies are teaming up to explore joint ventures focused on a new generation of gaming. However, Microsoft has not acquired Sega, as it did with Bethesda.

In the release, Sega president and Chief Operating Officer Yukio Sugino describes the effort as “(a) strategic alliance that explores ways for Sega to produce large-scale, global games in a next-generation development environment built on Microsoft’s Azure cloud platform.” This means SEGA is working with Microsoft to venture into larger titles utilizing Microsoft’s cloud, potentially indicating a giant project on the way from both companies.

Sugino also mentions a new initiative for developing new and innovative titles that it has dubbed “Super Game.” This initiative focuses on games with themes of global, online, community, and IP utilization. According to Sugino, SEGA and Microsoft are looking to further evolve gaming areas like network infrastructure and communication with a next-gen platform.

Sarah Bond, Microsoft’s corporate vice presdent, also commented on the new partnership in the press release. She said that part of Microsoft’s role in this new partnership is to advance its game development, with an aim of having its titles enjoyed by fans around the world. Bond also said that Microsoft aims “to build an alliance that utilizes both SEGA’s powerful game-development capabilities and Microsoft’s cutting-edge technology and development environment.”

Based on the press release, it seems that Microsoft and Sega could have something big in store that may be the next major innovation in the new gaming generation. We’ll just have to wait and see just what that is.

Topics

Former Digital Trends Contributor

De'Angelo Epps is a gaming writer passionate about the culture, communities, and industry surrounding gaming. His work ranges…

Gaming

Microsoft’s Activision Blizzard acquisition is going to take even longer

inarius diablo 4

Microsoft and Activision Blizzard have agreed to extend the deadline for its impending merger. The companies now have until October 18 to close the deal, extending their original deadline by months.

The original cutoff for Microsoft's Activision Blizzard buyout was July 18, however, that finish line wasn't an easy one to cross. Just before that date, Microsoft had to face off against the FTC in a court case to decide the deal's fate. A San Francisco judge ruled in Microsoft's favor with only days to go before the July date. With a few other loose ends to tie up, Microsoft now has until mid-October to get it done.

Gaming

Microsoft beat the FTC. Here’s what the controversial court ruling means for Xbox

You’ve probably heard that the Federal Trade Commission (FTC) lost its case against Microsoft after an exciting and revelatory trial. On Tuesday, Judge Jacqueline Scott Corley denied FTC's motion for a preliminary injunction to block Microsoft’s acquisition of Activision Blizzard before its potential completion by July 18. Ultimately, Corley did not believe that Microsoft owning Call of Duty would “substantially lessen competition” in the game industry. It was major win for Microsoft after months of regulatory hoops and roadblocks, but the FTC quickly moved to appeal the decision. This all raises an important question: What’s next?

Over the next week, Microsoft, Activision Blizzard, and the FTC will determine the fate of the gaming companies involved in this acquisition and set a precedent for the future of the game industry. On top of that, Microsoft still has to deal with the next moves made by the U.K.'s Competition and Markets Authority (CMA), which wants to block the acquisition due to its impact on cloud gaming. Following the release of Judge Corley’s Preliminary Injunction Opinion, I spoke to two analysts and a lawyer with knowledge of the video game industry to better understand what lies ahead for Microsoft and Activision, the FTC, and the CMA. The battle isn't quite over yet, even if the end is finally on the horizon.
What’s next for Microsoft and Activision Blizzard
Currently, Microsoft and Activision are in a solid position, as a Judge has ruled that Microsoft is unlikely to pull Call of Duty from PlayStation or lessen competition in the game console, cloud gaming, or game subscription markets by acquiring Activision Blizzard. There’s a temporary restraining order in place until July 14, which the FTC hopes to successfully appeal during. As soon as that order is up, though, Microsoft and Activision Blizzard have until July 18 to complete the acquisition.

Gaming

Ubisoft confirms Assassin’s Creed remakes are in the works

Basim perched on a ledge overlooking Baghdad

In a company interview with CEO Yves Guillemot posted on the Ubisoft website Thursday, the executive reveals that there are remakes of Assassin's Creed games in the works, although he doesn't specify which ones.

"Players can be excited about some remakes, which will allow us to revisit some of the games we've created in the past and modernize them," he says, implying that it could pertain to games made before Odyssey. "There are worlds in some of our older Assassin's Creed games that are still extremely rich."