As Microsoft (MS) pushed for the acquisition of video game company Blizzard for about $70 billion, Japanese Sony’s stock price plunged nearly 13% on the Japanese stock market on the 19th and plunged 12% on the New York Stock Exchange.
On the 19th (local time), Sony’s stock price fell 5.10% from the previous trading day to $110.04. Sony’s stock price plunged more than 7% the previous day. As a result, it plunged more than 12% in the U.S. stock market for two days.
Earlier, Sony’s stock price also plunged 12.79% in the Japanese stock market. As a result, the Nikkei index also plunged by about 3%.
Sony, Japan’s leading company, is listed on both the U.S. and Japanese stock markets.
The reason why Sony’s stock price is plummeting in both countries is attributed to concerns that Sony’s net profit will decrease as Microsoft enters the game industry in earnest.
Blizzard is the place that developed Call of Duty, one of Sony’s home game console PlayStation’s popular titles. However, Microsoft’s acquisition is likely to reduce the number of titles it can enjoy at PlayStation.
Japan’s Nikkei reported, “If Blizzard in the U.S. does not supply games to Sony PlayStation, Sony’s income could also decrease.”
Meanwhile, Microsoft is seeking to acquire Blizzard for $75 billion. Microsoft seems to be seeking to acquire Blizzard to bet on Metaverse, which has the most promising growth potential in IT.
