Sony’s stock has increased by more than 10%, reaching its highest level since December 2018, after the company announced it would partner with Microsoft in the gaming field while also offering to buy 4 again. 8% of previously issued shares. Analysts say this is a sign that Sony’s current cash flow is strong enough to help it invest in development and increase profits for its shareholders.
Sony cooperates with Microsoft in the video game field
Sony has officially announced a partnership agreement with Microsoft in gaming, through which Japanese electronics companies will use the power of the Azure cloud platform to stream games and content to users.
According to analysts, this is the right step for Sony, as the video game industry’s trend is now geared towards the cloud platform. Through shaking hands with Microsoft to leverage the Azure cloud infrastructure, Japanese electronics firms will have the advantage of competing in the future.
The agreement between Sony and Microsoft is still in the early stages with many terms still consistent. But basically, the two video game giants will now embark on the development of a method to stream games and content to users as well as provide tools for game developers to take advantage of it.
However, the expert of IHS Markit said that the cooperation will not have much impact on the gaming market in the near future, instead it is a long-term strategy that is expected to change the video technology. global game. Interestingly, both Sony and Microsoft have a similar strategy when using the current x86 platform for the console of the PS4 and Xbox One, maybe both will go to the cloud in the same generation. future console machines.
Sony and Microsoft were not the first to target the cloud platform for the game, before that Google also announced the Stadia platform aimed at bringing a hi-end gaming experience without requiring users to purchase PCs. or consoles expensive.
Sony acquires 4.8% of issued shares
In addition to a partnership agreement with Microsoft, one of the key factors driving Sony’s stock price hike is that it decided to buy 4.8% of the issued shares out with an estimated value of about 1, 82 US dollars. Stock repurchase time is announced by Sony from May 17, 2019 to March 31, 2020.
According to CNBC