You can’t be serious: Microsoft and Sony working together?

Posted by

on July 30, 2012

Are Microsoft and Sony working together?

by Menashe

I’m very skeptical when it comes to rumors from unreputable sources and the whole “I know somebody who knows somebody,” kind of thing. And yet I recently heard tidings that were intriguing, if somewhat open-ended. I feel I should report it on the off chance that it leads to something. Then you could say you heard it here first. You can help me make heads or tails of it, but I think the bottom line was: Microsoft and Sony are in talks together. Where that will lead, we do not know.

First I will say that this source has been reputable for us in the past. He let us know about the depth of the Nintendo Network and Nintendo’s social/online plans months before E3. He told us about the Wii U’s trademark issues for the letter U and we reported it one month before it became public knowledge. He told us about that he saw black casings for the Wii U back when everyone only had seen the white version. And he told at the same time about the Wii U’s clickable analogue sticks. He also told us about a game that sounded close to the final reveal of NintendoLand.

So, basically, I have learned to give credence to the things he says. After E3 I heard nothing from him, but just today he decided to throw me a few bones. Unfortunately, they don’t paint a clear picture. He doesn’t like when I quote him word-for-word, so I’ll say each point in my own words. The statements were vague and hopefully you can help me figure out the meaning behind them.

Sony and Microsoft are terrified of the upcoming generation. Sales are down each holiday season, Apple is taking over market space, and Nintendo has decided to join the hardcore industry more whole-heartedly.
Epic, EA Games, Crytek, Konami, Square Enix, and other powerhouses are being more assertive, having more of a say in the matter – they are somewhat directing what will happen in the next generation. And they are swaying the heads of both companies in certain directions.
Sony’s executives are enticed by the money flowing from Microsoft’s coffers.
Sony and Google had been in talks around GDC time, this year.
[This was his most confusing statement:] Microsoft opened the doors for talks, some “party” walked in to negotiate, and Sony had to reluctantly agree.
As Katuragi left Sony, a psuedo-truce was able to form. [I take this to mean: Sony exec, Tetsuhiko Yasuda, once said that he would consider working with Microsoft. But Ken Katuragi, the father of the Playstation, was against it. After he resigned as honorary SCEI chairman in June 2011, it opened up the opportunity again to discuss a partnership.]
There will be dramatic revelations that will affect the entire industry.

So, I’m unclear if this is talks just between Sony and Microsoft or if there is someone else involved. He mentioned “some party” stepping in and doing negotiations with Microsoft, and this affecting Sony too. Can it be a certain company with a service that Sony and Microsoft have to agree to jointly support? Maybe Valve is forcing Sony and Microsoft to partner up on a console version of Steam? (Now, I’m just guessing.) It didn’t sound like it was just a straight merger of Sony and Microsoft, more like they will somehow cooperate together in a way that services them both. And this will have an affect on the whole console industry.

If you have a better guess at how to connect these dots, I’m all ears. Leave your comments below.

24 comments

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mafu

I think Nintendo should take it as a compliment, the obviously have something going on that Microsoft and Sony are feeling threatened by :-D

mafu

I have heard something along the lines that the new Microsoft console will have Sony blu-ray in it, thats probably a rumor you have already heard yourself though.

LobbycastGeoff

It's not that uncommon for these two companies to interact with each other at several levels. They are both huge companies with many facets. They can't help but be connected. On the other side of that, there isn't a game developer/publisher around that could force the two companies to do much of anything. At least not Microsoft. Publishers often complain about the closed nature of Xbox Live and that would be a relatively easy thing for Microsoft to adjust. If they can't get MS to change that, then they can't have all that much juice.

Alex

This is no rumor, how could we possibly expect the industry to grow if it's divided the way it is? It's not about rumor or facts, it's about logic. Of course Sony and Microsoft are working with each other. They have from the beginning. If they weren't, Xbox wouldn't have even made it to 360. I didn't hear it from this website first, I've been saying it for years in comments' sections all around the web. They both agreed to let this generation drag on longer than any other. The only problem is, Sony is putting their money into games and Microsoft is almost literally throwing their money down a toilet. If it looks like a duck, smells likes a duck, acts like a duck and tastes like a duck. It's a duck. It doesn't matter who says it first and it doesn't matter who says it isn't a duck. It's a duck.

DarthDiggler

@Alex Sony and MS are competitors they have not been working together for years. They actively work against each other in many ways. MS actively tosses money around for exclusives, MS cuts the HDD from their system to achieve a price point to compete with Wii. Sony buys up talented developers to help insure less games for the competition (a practice I would likely abhor if PS3 wasn't my system of choice). To suggest this is all some big conspiracy just doesn't seem very well thought out or reasoned. Do you have any evidence to back up your claims or do you just feel like behind Sony and MS is a curtain and if you pull it back you will find a man named Oz pulling all the strings?

got milk

@DarthDiggler they wont mute anything especially not the wii u, nintendo will bury both of them like before, so suck on that noob.

DarthDiggler

@got milk My apologies if somehow I have given you the impression that my comments are devoid of thought and reason. I think I made my points in a well thought out manner, your comments directed to me are simply incoherent fanboy driven rhetoric that doesn't even make sense. For the sake of argument let's delve into your vapid comments -- shall we? they wont mute anything especially not the wii u, Do you understand the first thing about product marketing? I honestly don't think so. You seem to even understand less about the English language. :) The fact is it Sony and MS were working on a console together they would use that to their advantage. They would likely time their announcements in order to do the most damage to Wii U. This is business. nintendo will bury both of them like before, so suck on that noob. So Nintendo just buried Sony and MS this generation? Have you taken some time to analyze what they did beyond selling consoles? Sure the Wii was a big hit early this generation, people bought into the system because the new control scheme looked like the next great thing. Publishers and developers alike were wooed and wowed. The only problem is the software attach rate for Wii is pathetic. By and large if you aren't Mario, Zelda, Metroid or some kind of game that promises to get you fit it doesn't sell on Wii. Core games have been a complete failure on Wii and that is the audience that buys the most software. So while Wii had spectacular install numbers their software sales were shit. Third parties realized this that is why there are so many PS2 -> Wii ports. It was an easy cash in for a system that basically allows you to shake the control to win most games. Is that better for you NOOB?

Electricb

I think other posters might be right about a unified hardware format to cross game and general development ease for 3rd parties. But might t have something to do with the rumour of MS and Warner teaming up to buy activision/blizzard? Warner being the 3rd party to get sony not to protest the potential purchase, guaranteeing continued support for sony's platform?

DarthDiggler

You guys are suggesting the next generation will be like the Panasonic 3DO days. I don't buy it one bit. Think about this as an Xbox or PS Fanboy. How would you feel if your brand new PS was just a carbon copy of the Xbox just released? It doesn't matter what the specs are as long as the specs are somewhat similar. I hate to burst your bubble but 3rd party ports by and large will just be programmed with the lowest common denominator. There will be some changes like post processing, but most of your game assets will largely be alike in an Xbox 360 game and PS3 game. Developers just do not have the time to customize and polish like they would for an exclusive title.

Kevin

Wow. Part of me hates this idea and another part loves it. Many conflicting emotions over the possible direction the game industry would go with a move like this. I don't doubt that the talks are happening but I think there is a good chance nothing comes of this behind the scenes discussion between two video game giants. But if something comes out of this you'll be celebrated for reporting it so early. Great job Menashe!

DarthDiggler

I hate to pick this apart but after your comments I feel like I should. "1. Sony and Microsoft are terrified of the upcoming generation. Sales are down each holiday season, Apple is taking over market space, and Nintendo has decided to join the hardcore industry more whole-heartedly." For one Apple isn't taking over the Sony / MS marketplace, Apple increased the gaming marketplace with an additional marketplace of casual gaming. Wii U doesn't pose a big threat, so far no one has seen any core software that makes the system worth buying. Year old ports using new control schemes will not sell systems. "2. Epic, EA Games, Crytek, Konami, Square Enix, and other powerhouses are being more assertive, having more of a say in the matter – they are somewhat directing what will happen in the next generation. And they are swaying the heads of both companies in certain directions." This actually started early in this generation, Sony's system was a bitch to code for. Remember Gabe Newell telling Sony they needed to do a Do-Over on the PS3? Well Sony made lots of changes to the software side of things, it was quite a feat actually for a company that has always relied on it's expertise of hardware. The fact is that Sony and Microsoft both entered talks with these publishing and development powerhouses a long time ago before the hardware for the next generation was a reality. They want these companies both to be comfortable developing on their platforms, this is by no means any sort of evidence of collusion. "3. Sony’s executives are enticed by the money flowing from Microsoft’s coffers." This doesn't even make sense. So what MS has lots of money, unless Sony is looking to sell of their gaming division how much money MS has isn't germane. "4. Sony and Google had been in talks around GDC time, this year." Sony uses Android on the VITA and some of their phones and tablets. Sony meeting with Google may not have anything to do with the next gen console. "5. [This was his most confusing statement:] Microsoft opened the doors for talks, some “party” walked in to negotiate, and Sony had to reluctantly agree." This to me points squarely to Cross Platform play between PS3 and Xbox 360. Likely the party was some kind of heavy hitter publisher. How could a 3rd party be asking for anything else? "6. As Katuragi left Sony, a psuedo-truce was able to form. [I take this to mean: Sony exec, Tetsuhiko Yasuda, once said that he would consider working with Microsoft. But Ken Katuragi, the father of the Playstation, was against it. After he resigned as honorary SCEI chairman in June 2011, it opened up the opportunity again to discuss a partnership.]" If Sony was chomping at the bit about MS and impressed with their money, why did it take over a year to get these talks going? "7. There will be dramatic revelations that will affect the entire industry." 3 out of 5 gaming announcements seem to say that this will dramatically affect the entire industry. :) I am not saying nothing is going on, but this guy hasn't exactly given you anything to go on. It could all be much ado about nothing.

John

"Wii U doesn't pose a big threat..." Woah, fanboy ahoy!

jeremy

"Sony uses Android on the VITA" Not true...

Kevin

I'm not really interested into getting into a highly detailed discussion about why this isn't going to happen. But I'm just responding to the concept that this rumor presents of two giants working together. Don't see why you need to pick that apart at all. If you want to pick apart the article go ahead but I'm not sure why you replied to my comment. I did say I don't think anything will come of this even if some mild discussion is taking place behind the scenes. And about the chances of some communication between Sony and MS taking place for all we know this could simply be Microsoft contacting Sony about something to do with Blu-Ray or some sort of thing that requires both of them to work together in a small role on. Not a major console, no. Sony is working with Google to allow certain PS games on Android devices. They're telling us we don't need a Playstation console to play some games. (Though the games on Android aren't exactly gang busters and a lot are old) You never know. I'm not saying this will in any way come true but I wouldn't be surprised if this is some sort of small deal kinda like how Microsoft releases it's famous Windows applications on Macs. Just a behind the scenes thing to allow some sort of service or application to be used by both parties. I doubt cross-platform play though because then wouldn't that come into conflict if users complain that one service is free while the other is paid just to play with the same people? Some might be upset if they are paying for XBL but playing with users getting free online through PSN.

DarthDiggler

Well some people are looking at this and thinking new MS/Sony console, which WON'T happen. Ever. The fact is many of the revelations aren't really that revealing. Most of this stuff is known to some degree or another for example 1, 2 and 4, I illustrated that in my reply. No real cloak and dagger stuff about 1, 2 and 4. Item 6 is just a statement of the culture Ken K didn't like MS at all. That doesn't really open any doors though. Item 7 is just generic PR rhetoric if I were the author I would had omitted this. Item 5 is the only item that really seems to have anything new about it.

Kevin

Turns out I was interested into getting into this discussion! Lol.

DarthDiggler

You guys are missing the obvious. This is cross platform play between XBL and PSN. I doubt you will see Halo on a Sony platform or Drake on an Xbox platform. If Sony and MS were making a system together they would have already announced it to help mute the Wii U.

Mimzymoo

More likely it's to do with making hardware compatible with each other so it's easier to develop for both with less headache and expense for devs.

Menashe

You know, that's actually quite plausible. I like it. And it would make sense with the comment that the big third-party publishers are starting to speak up and make certain demands. With the current sales climate, I'm sure they are looking for a way to reduce the budgets for making blockbuster games and streamline the whole development. So, does that mean there will be a ton of ports across Nintendo, Sony, and Microsoft's systems?

DarthDiggler

Nope... The fact is many developers are already using dev kits like Unreal Engine so Sony and MS don't really need to work together there. The engine creators have that aspect worked out to some degree. Also the biggest problem I see with Mimzymoo suggests is each company would be right now sharing their next gen secret sauce with each other. I don't think that will happen until Apple and Android make a serious play for this marketplace.

Remy

"some party?" Maybe SEGA? Remember the whole "SEGA Orbi Enterprises"-thing that appeared on the internet recently? What if Sony, Microsoft and SEGA combine their powers to create a new hardware system together? That's definitely shocking...

DarthDiggler

Wishful thinking. Would never happen.

Gef

Microsoft to adopt the Vita as a handheld platform? Halo portable etc...

Brian

Sony branded 'off the shelf' hardware featuring Microsoft services (live, OS, etc).

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