Source: Pexels
Rumours are spreading like wildfire on social media about Microsoft’s potential takeover of Valve. According to reports, they want to dominate the PC market by purchasing Valve at £12 billion. If the rumour was true, that would mean that Microsoft is on a bit of a shopping spree right now. Just seven months ago, they acquired Activision Blizzard for a total of £53.9 billion. Rumours are circulating that the company has $80 billion in CCE, or cash and cash equivalents. They are also apparently preparing an offer to buy Valve, with no stock and all cash. A community note has been added to the tweet to emphasise that there is no proof to the claim as it has not been verified by any official accounts linked to the companies in question yet.
Microsoft is Making Waves in PC Gaming
Microsoft have taken over Activision Blizzard and are making waves in the PC gaming sector. They are dominating the RPG market but are yet to show any interest in casino games. The online slot market is showing immense growth right now, with the sector projected to grow by 6.20% by 2029. Megaways casino games in particular are proving to be the most popular. They were developed by Big Time Gaming (BTG) and feature a revolutionary mechanic that changes how slots are played.
With the sector showing such strong signs of growth, it’s a prime market for niche game creators. With Microsoft making big moves elsewhere, however, it makes sense for them to turn their sights to smaller acquisitions for now. Tom Warren, a senior editor at The Verge, has said that Microsoft are not preparing to buy the company. Others have come out to say that the figure simply doesn’t make sense, as why would the largest distributor of games, sell for a small fraction of what Activision Blizzard sold for?
Source: Pexels
£12 Billion is a Very Low Offer
When you look at the fact that Valve were able to make £800 million by simply selling loot boxes, £12 billion seems like a low offer for the storefront of Steam. The company, should this offer be real, would also acquire everything that Valve owns. Microsoft also found it difficult to get the Activision deal to go through because US and UK investigators tried to block the acquisition. When you break down the facts, there’s almost zero chance of a deal like this going through, even if Microsoft did feel like trying their luck.
If Microsoft did end up buying Valve, they would end up with a monumental piece of the PC gaming market and this is on top of their market with Xbox. Xbox is doing well right now and with Microsoft making such big purchases lately, it’s unlikely that they are going to be spending billions trying to push their company even more. In the current economy, it just wouldn’t make sense to make such bold moves, and this is why the deal probably isn’t real, and if it is, it’s probably not going to go through.
