Microsoft and Nware signed a 10‑year cloud gaming agreement on Apr. 28, 2023. Microsoft announced the agreement days after the UK Competition and Markets Authority blocked its attempt to buy Activision Blizzard. The CMA warned that the acquisition would stifle competition and could give Microsoft reason to make Activision titles exclusive to its own services. Microsoft said it would appeal the CMA’s decision, while Activision Blizzard pledged to work aggressively with Microsoft to reverse the ruling.
Brad Smith shared the news on Twitter, noting that the new partnership alongside Microsoft’s recent commitments would bring more popular games to cloud streaming services. Microsoft described the deal as a way to reassure regulators that the Activision Blizzard acquisition would not harm competition in the cloud gaming market. Under the accord, Nware gains the right to stream Microsoft’s PC games built by Xbox and all Activision Blizzard titles once Microsoft completes the acquisition.
Before the Nware arrangement, Microsoft had already signed similar 10‑year cloud gaming pacts with Nvidia’s GeForce NOW, Boosteroid, Ubitus and EE. Nvidia and Boosteroid publicly backed the Microsoft‑Activision deal, saying it would help grow the cloud gaming sector. In the United States, the Federal Trade Commission filed a lawsuit to block the Activision Blizzard acquisition. European regulators were expected to reach a decision on the acquisition by May 22, 2023.
Microsoft finalized the purchase of Activision Blizzard on Oct. 13, 2023 for $68.7 billion, or $95.00 per share. As part of the acquisition, Microsoft sold the cloud‑streaming rights for Activision Blizzard content to Ubisoft to meet regulator concerns. The company also agreed to keep Call of Duty on PlayStation for at least ten years to address Sony’s objections.
- Apr. 2023: Microsoft and Nware sign a 10‑year cloud gaming agreement.
- May 2023: European regulators expected to decide on the Activision Blizzard acquisition by May 22, 2023.
- Oct. 2023: Microsoft completes the acquisition of Activision Blizzard.
- Oct. 2026: Stratview Research reports cloud gaming market valued at USD 6.4 billion in 2024, projected to reach USD 7.7 billion in 2025 and USD 19.7 billion by 2032, growing at a CAGR of 14.4% from 2025-2032.
As of 2026, the leading companies in cloud gaming are Sony, Nvidia, Microsoft, Amazon and Ubitus. The Asia‑Pacific region is expected to dominate and grow fastest in the cloud gaming market. Smart TV devices are projected to maintain their leading position in cloud gaming over the next five years.
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