According to a report from Bloomberg, Microsoft wants to purchase some Japanese studios to expand its lineup of first-party offerings. This could help Microsoft expand the global appeal of the Xbox brand, following Microsoft recently acquiring the American conglomerate ZeniMax.

Microsoft has made major strides to expand its first-party holdings going into the next generation of consoles. Fans often bemoaned the small number of first-party exclusive titles Xbox released during the lifespan of the Xbox One. In fact, Microsoft itself acknowledged that its output of first-party Xbox One games may have missed the mark in terms of quality and quantity, Now that it owns studios like Bethesda, Microsoft is in the position to release highly compelling first-party games, and it is on the lookout for more studios to add to its lineup.

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The report states that Microsoft has approached Japanese developers of all sizes about the possibility of an acquisition, although it is unknown whether any of them agreed to be purchased. Unfortunately, the studios in question are not named. Microsoft may have trouble convincing the region's developers because the Xbox One sold extremely poorly in Japan. Even though the console is clearly successful overseas, Microsoft may simply not have the leverage necessary to make a compelling offer.

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It's unclear how high Microsoft is aiming in terms of the largest studios it hopes to acquire. Its interest in Japanese developers happens to coincide with a turbulent period for Square Enix, following Marvel's Avengers underperforming commercially. However, that company's long history with Sony makes it unlikely that it would accept a Microsoft acquisition. A recent rumor suggested that Microsoft wanted to acquire SEGA, although both companies deny it for the time being.

On the other end, it is unclear which small studios Microsoft has contacted. If Microsoft is willing to purchase indie companies, they would have quite a few options. For example, well-regarded indie developers like Inti Creates, who created the popular Bloodstained: Curse of the Moon games, could be up for grabs. That said, many indie studios value their independence, and might view a Microsoft acquisition as "selling out."

The acquisition news may leave PlayStation owners afraid that their favorite games will become Xbox exclusives, but this isn't necessarily the case. Microsoft plans to decide on console support for new Bethesda games on a case-by-case basis, Plus, Microsoft will honor pre-existing PlayStation exclusivity deals with Bethesda, showing that Microsoft is not looking to disappoint PlayStation fans. In any case, there is no reason to be excited or afraid until Microsoft announces acquisitions, which could take some time.

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Source: Bloomberg