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Former PlayStation Boss Sounds The Alarm After Microsoft Buys Activision Blizzard

Sony veteran Shawn Layden has warned of the impact consolidation will have on studios' creativity.

43 Comments

The former CEO of Sony Computer Entertainment America, Shawn Layden, has had a lot to say about the state of the industry since he left Sony in 2019. In a recent interview, Layden expanded on some of those points, warning against studio consolidation and advocating for game preservation in the wake of Microsoft's massive acquisition of Activision-Blizzard finally going through.

In an interview with the Lan Parties podcast last week, as picked up by Kotaku, Layden reiterated some of the biggest issues he sees in today's game industry--including consolidation, which has been a major talking point during Microsoft's battle to acquire gaming giant Activision-Blizzard-King.

"My concern around consolidation is that often it impacts creativity," Layden explained. "For instance, it takes some kind of small, independent, wildhorse studios and brings them into a larger conglomerate and essentially time slows down the bigger you are, time slows down."

While Layden says the practice can be positive in cases where a smaller studio otherwise would have shut down, he's still concerned about the impact of consolidation on the industry as a whole. "I'm just concerned about what it does to the creativity urge inside of the studios, and can they keep that sort of independent creativity alive or do they just get absorbed into the larger whole?" he elaborated. "Time will tell, but it's a bit concerning. When you go from hundreds of voices to dozens of voices, you lose some voices."

Layden also has concerns about the lack of variety in today's games, with many big AAA studios tending towards the same genres and formats. "If we continue to coalesce around the four or five genres, then we won't get the new players because those people have already said we're not interested in your genres," Layden said. "Don't kid yourself that someone who's said 'no' to Call of Duty for the last 15 years is going to start suddenly saying 'yes' to Call of Duty."

The former PlayStation boss also spoke on the topic of game preservation, saying he would like to see more people in the industry thinking about preserving old games for future generations. "This isn't throw-away stuff we're making," he said. "This is stuff that should be around for a long time because future generations will enjoy it in the same way that we have and it's criminal that we're not doing more to protect it."

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xboxplayer1

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They are running scared because Sony knows that their days are now numbered.

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makchady

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I'm so tired of this line of reasoning. Lack of creativity? The indie scene is absolutely booming with creativity. Look at what Supergiant has done with Bastion, Transistor, and Hades. Look at Cuphead, Stray, Inside, Inscryption, Rocket League, Darkest Dungeon, Into the Breach, Disco Elysium...the list goes on and on.

And let's not be ridiculous. We still have phenomenal AAA games with plenty of creativity. Doom and Doom Eternal, Wolfenstein 2, Sea of Thieves, Grounded, the Spiderman games, Alan Wake 2, Baldur's Gate 3, the Witcher 3. It's a joke to suggest we don't have high-quality, creative games or that the industry is going to magically become significantly less competitive. If anything, this pushes Sony and Nintendo to keep producing amazing exclusives because they can no longer count on Xbox to be a joke in the exclusives department.

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Ives74

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Wait, he's suggesting creativity will be impacted AFTER aquisition? They've been missing creativity for years now.

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definer0

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Aquisition and consolidation is fine if Sony does it however, right Shawn?

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Chrismmm

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This stuff confuses the heck out of me and it seems like people have some very strong opinions about it. Seems like the deal has turned into a flashpoint in the console wars. I don't like exclusivity period but I get that companies want to protect their IPs.

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Midna

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Wow. Shawn really ruffled a lot of feathers by the look of this comment section. Lol

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sladakrobot

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In other news, a whole Playstation QM team(Internal Production) was fired/let go.
According to David Jaffe,likely fired.
Connie Booth and her team are no more.
That team was responsible for quality/state of Playstations first party games since 1989.

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aaronlav

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People acting like he has some giant stake in all this... what he's saying is true. This was a foolish move by MS and one that I could see making them eventually having to reconsider the value of being in the console market. You already see talent flooding out the door, as is always the case with acquisitions of this size.

Look at Rareware's output. Look at the shell that's left of 343. Sometimes I think they're like the Amazon video of gaming; they dump a bunch of money in and then lack the care & oversight to properly compete. Once the AI money *really* starts rolling in, I think they at minimum take a similar route as Sega after the DC and push cloud/digital/gamepads exclusively. Or sell it off to whatever the Embracer of 2030 is.

You can only finish in distant last sales-wise so many cycles before you're forced to re-evaluate; I don't care how much $$ your parent company is worth.

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DustoMan

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Edited By DustoMan

Creativity wasn't exactly flourishing under Bobby Kotick and his investor crony's thumbs.

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Nargg

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Aw, did someone get butt hurt?

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CyrezEraser

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how about monopolies occurring where giant corporations own all of the major franchises and then they can just raise prices or **** us over any chance they get with releasing half baked games. Oh wait thats already happening.

Only option you have at that point is indie games but a lot of the titles I like are mainstream like battlefield for example.

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Nargg

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@cyrezeraser: So, you're upset that Microsoft took a page out of Sony's book? Get over it.

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CyrezEraser

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@nargg: where did I say I was ok with Sony doing it you dolt. I said corporations, meaning all of them.

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hardwenzen

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All i know is that Jim Ryan has been a disaster for Sony. Bring Andrew House back, Sony was excellent during his days.

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Manger

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No one cares actually. I polled the entire planet.

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sladakrobot

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Soooo,how does he explain the lack of creativity in PS games portfolio then?

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Jarrkha

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Edited By Jarrkha

You add to the cacophony of voices when you consolidate, not take away.

Notice the word I chose: cacophony. It's not a chorus when more people are thrown into the room.

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Destructionzz

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Edited By Destructionzz

@Jarrkha: That's what he said basically, you lose out on voices of value in all the noise

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Jarrkha

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Edited By Jarrkha

Chipmakers and console proprietors: Should've thought about game preservation before you started making new hardware.... In an effort to "help" devs chase new gfx & software techniques, or was it those chasing the hardware?

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blaznwiipspman1

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Edited By blaznwiipspman1

AB was already a huge studio with lacking creativity and focus purely on CoD. If anything, this aquisition by MS helps gamers, because MS wants to boost subscription numbers and market share, which means shifting away from cod and more into other franchises that AB buried long time ago. Like the warcraft rts games.

If MS bought up a bunch of small studios like Sony loves doing, that would be bad for the industry.

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yugabe

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@blaznwiipspman1: And that's exactly what he said as well. GameSpot peak journalism once more... When asked about consolidation in general, Layden talked about how small studios being bought potentially destroys their creativity. Didn't even mention ABK. This site is a joke.

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Nargg

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@yugabe: No, Sony is the joke.

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yugabe

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@nargg: Let's compromise. Both.

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BDRTFM

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Edited By BDRTFM

His concerns are unfounded. In the past, Sony and Microsoft played a larger role in what their studios were doing. The last few years, however, both companies have taken a hands off approach to their new acquisitions and have pretty much given them free reign - although Sony has made a couple of questionable decisions. I'm not too sure Naughty Dog wanted to continue making more Last of Us games and were told to do so and it showed in The Last of Us 2. Shutting down PixelOpus and some pretty big layoffs by both companies are troublesome. However, Mojang is a great example of doing it right. They do what they want and they have become a much better company since being acquired by Microsoft. More staff and other resources as well as more cash flow has allowed them to put out more updates and bug fixes in the last two years than they have in the decade prior to the acquisition.

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tbird7586

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Meanwhile Microsoft is allowing their studios to make whatever they want and take their time soooo oppressive. Sony on the other hand has shutdown their last creative studio that made unique games and is doubling down on love service and making sequels nonstop. Meanwhile obsidian released two passion projects they would've never been able to release inXile finally has the budget to make their dream game arkane is working on prey 2 and dishonored 3 but while under Bethesda before Microsoft they were forced to make redfall Microsoft just had them finish it and then there's hellblade 2 now a full scale triple A project instead of a double A project like the original seems like Microsoft is letting creativity bloom Sony is causing stagnation and they can release stupid buggy games and get rave reviews because they pander constantly to today's games journalists who wouldn't dare say a bad thing about Sony and risk being blacklisted

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Dushness

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@tbird7586: sony doubling down on love service sounds intriguing for gamers

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mediastupid1

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I think the industry as a whole is crashing. yes xbox is a huge reason why, but Sony Is also to fault. Sony exclusives yes, they have ALOT are all generally the same, 3rd person action adventure. Xbox exclusives? well all 2 are just over done, and to stay relavent they want to swallow up what they can to try and stay afloat and try to bridge a gap between console and PC which I don't think should be done. I myself am not much of a pc gamer and have mad respect for those who are.But I think keeping that separate is better for the industry also getting rid of physical games in console gaming is bad as well.I want to own what I pay for physically.

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Nargg

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@mediastupid1: Normal turn of events. It will all work out. Probably after the downfall of the middle class who buys most of these games.

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mediastupid1

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@nargg: I don't know if it's middle class persay, gamepass is geared towards lower class and its showing. I just think like religion and politics, keep console and pc seperate.

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jenovaschilld

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Yes and no. For more then 25+ yrs, publishers and studios have been consolidating. Yet we have more games each year, then entire past generations of games. From mobile, indie, AAA, live service, and on and on we have games getting made. And very different games also. Not just gatcha games, but single player AAA games with no tacked on multiplayer. Gamers are fickle and just chase the unique gaming experience that ... well from FPS, to motion control, to guitar hero/DDR, to mmorpg, to fortnite, to minecraft, to farming sims... So far no publisher has controlled the 'taste' of gamers. - Lord knows they have tried.

The gaming industry is bigger now then movies, music, and traditional tv combined. As development costs rise, you are going to have consolidation in the AAA gaming publishers. But you also have countless numbers of smaller developers making everything from mobile, indie, to those countless steam games - that somehow make a profit, because more of these games just keep getting made.

WE do need better regulations in the gaming industry, to allow more players to enter the market and increase competition. But again, consolidation does not mean a lack of competition or vice versa. I would love to see more platforms in the AAA gaming spaces, and more publishers. All entering the market, fighting it out, and thriving or dying.

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Nargg

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@jenovaschilld: The industry does NOT need red tape. That would be a final blow to creativity. I will never support regulations in this arena.

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jenovaschilld

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@nargg: Not red tape. Not environmental standards. Not even worker standards... maybe some nets when they jump off the roog.

Just simple regulations that allow easy funding for small developers. Less nuisance suits by bigger corporations against small publishers entering the market. Less market and region control by all foreign and domestic monopolies when a new platform or publisher tries to enter the market, especially AAA game spaces. More transparency with investment , who is paying who, who is paying to not work with another, etc.

You have a 85 + billion year industry that gets bigger and bigger, that only has 3-4 platforms in the AAA gaming space, and about 10-12 publishers that consistently put out AAA games per year. A healthy dose of competition could really help. And after all that is what a corporation is. .. or what it was originally created for, was a multi-state, multinational business that agreed to oversight by each nations and a set of fair trade rules set by each nation and voted on, not the whims of billions.

The gaming industry is like the hollywood of old, where just a few studios controlled it all. It was a monopoly and needed to change and regulations after it became wealthier then some nations. I agree that regulations can get out of hand, save a snail... etc. But regulations and antimonopolies is what has allowed the country and the world to grow, increasing the middle class by billions. While also improving conditions for consumers, gamers.

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epic_poke8

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Good on him for this. People should be worried that Microsoft is a huge entertainment conglomerate that runs:
a Global Manufacturing and Operations Corporation
a Semiconductor manufacturer with 5 manufacturing subsidiaries
a Software Entertainment producer with 41 subsidiary studios that it bought in the last 4 decades
a Film Company with over 130 subsidiary companies and distributors
a Music Company with over 100 subsidiaries and labels
a Finance Company with 4 subsidiaries in investments and insurance
and an electric car company


Oh wait that's Sony

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lon3wolf2002

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@epic_poke8:

Perfect

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SMOUCHE_MOLE

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@epic_poke8: And what does Microsoft own? Sony’s reported revenue for FY23 was $85B while Microsoft’s was $212B. Think it would be beneficial to show both companies’ portfolios rather than try and skew it one way. I wonder how many people regularly engage with a Microsoft product on a daily basis vs a Sony product.

But with that aside, forget the person making the comment. It would still be a valid observation regardless of the source. Large corporations swallowing up smaller ones, whether it’s Microsoft, Sony, Google, Meta, etc., isn’t always beneficial to the end users of those products and certainly helps to stifle creativity. Instead of various companies having their own leaderships and visions, you’re consolidating.

Does consolidation bring about more voices, ideas, and opinions or less?

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Nargg

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@smouche_mole: Microsoft works in the B2B realm, which Sony barely does, and a poor job. You seem hurt Microsoft does better at something?

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SMOUCHE_MOLE

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@nargg: lol hurt? My comment wasn’t attacking Microsoft nor Sony nor was I choosing a “side”. . ?

OP had a cheeky response so I asked for the opposite data on Microsoft? OP seems to be well read?

Anywho, those clapping at consolidation, be it Sony or Microsoft, baffles me as it rarely benefits consumers

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tbird7586

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@epic_poke8: hahaha I was like wait

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GamerBum

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Edited By GamerBum

@epic_poke8:

LMAO!

WOW I had no idea sony had all that.

Gamespot up to their anti Xbox BS with that headline I see yet again! Smh!!

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Nargg

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@gamerbum: Sony is a MAJOR Aquisition firm. It has all but killed the film industry in many ways. They are just upset someone else is winning in their game finally.

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tbird7586

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@gamerbum: yeah they would've never published this article if it was an ex Microsoft executive saying the same about Sony can't risk being blacklisted

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xavier141524

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@epic_poke8: you win today!

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