Though Sony confirmed to Bloomberg that talks between the two console giants had been going on since past year, the announcement still caught rank-and-file employees at the company off guard, according to Bloomberg's sources. For those who may not know, Microsoft has been working diligently to create a cloud sharing gaming experience for their next console.
When the two hardware giants began negotiating in 2018, the Japanese company's senior management out of Tokyo led the charge.
The speed at which cloud gaming has taken off in recent years appears to have caught Sony off guard. So if you are a PlayStation owner anxious that the new partnership will affect PlayStation, I personally don't think there is much to worry about.
Sony has today shown off a video showcasing how fast the next gen Sony console (expected to be PlayStation 5) loads games versus the PlayStation 4 Pro. However, it seems like one of the parties that was surprised by the announcement was PlayStation themselves.
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Also, securing Sony for its Azure business could make it the new standard for cloud deployment over Amazon Web Services.
"Sony feels threatened by this trend and the mighty Google, and has made a decision to leave its network infrastructure build-up to Microsoft", said Asymmetric Advisors strategist Amir Anvarzadeh. "We collaborate closely with a multitude of content creators that capture the imagination of people around the world, and through our cutting-edge technology, we provide the tools to bring their dreams and vision to reality", said Kenichiro Yoshida, president and CEO of Sony.
Sony has already spun its 2012 purchase of streaming gaming company Gaikai into over 700,000 subscribers for its cloud-based PlayStation Now service, which launched in 2015.
Announcing the move - by two companies which previously were categorised as rivals - on Microsoft's website, the platform-holders said: "Sony Corporation (Sony) and Microsoft Corp". I believe that our joint development of future cloud solutions will contribute greatly to the advancement of interactive content.