Microsoft and Sony have been competitors in the gaming industry for ages, more specifically: Since the release of the Xbox in 2000. Microsoft is the owner of the Xbox gaming console and Sony owns the Playstation gaming console. The two companies used to be rivals, fighting over the console market for around two decades. Yet, a surprising turn of events has occurred.
Microsoft and Sony decided to start a collaboration. This collaboration was announced on May 2019. The reason for this partnership is that both companies want to introduce the concept that is called cloud-gaming. Cloud-gaming means that your game is played from a server, rather than from a computer or any other device. Normally you download a game directly to your PC or console. With cloud-gaming you store a game on a remote server, which makes downloading the game to your computer or device not necessary. An example of being cloud-based is Netflix, where you can stream from an extensive platform, without having to download your movie or episode itself. The cloud-based technique is not fully implemented in the console/gaming industry yet but there seems to be a possible application in the future.
But why do Microsoft and Sony exactly start a collaboration together? This is mainly since superpowers like Google and Amazon are forming a threat for Microsoft and Sony. Both companies have a lot of cloud experience and server power. This forms a huge threat for Microsoft and Sony.
Microsoft and Sony are collaborating to keep up their dominance in the game console industry. The threat for superpowers like Google is huge. Historically speaking, the collaboration is quite surprising. Maybe Microsoft and Sony realise that in certain areas they are stronger together, or maybe a proverb seems to fit in appropriately: a drowning man will clutch at a straw.
Tom Warren, 2019
https://www.theverge.com/2019/5/20/18632374/microsoft-sony-cloud-gaming-partnership-amazon-google
Joanna Nelius, 2019
https://www.pcgamer.com/what-does-microsoft-and-sonys-and-strategic-partnership-even-mean/