Microsoft Expands Into the Gaming Industry

http://dealbook.nytimes.com/2014/09/15/microsoft-to-buy-creator-of-minecraft-for-2-5-billion/?_php=true&_type=blogs&src=me&_r=0

Once again, Microsoft ventures out and buys over Mojang, the creators of Minecraft, for $2.5 billion. By understanding that the gaming industry is becoming increasingly popular amongst electronic device users, Microsoft has made a very smart move in closing the deal with Mojang. Mojang itself is already very established with the simple, yet innovative creation of Minecraft. I believe that buying Mojang and the rights to release Minecraft on Microsoft devices will help with the sales and popularity of Microsoft. This is because Minecraft is a game that several people enjoy playing for fun and has recently been introduced to being used in an educational setting. If Microsoft can take advantage of a new target population such as students, parents, and teachers to invest in creative game tools, like Minecraft, Microsoft will be able to further establish their brand while increasing sales.

Mojang itself was very intelligent in the creation of Minecraft. Being easily-accessible opens the market up for people who are both young and old, without alienating groups in the market, like the many games that are rated M and are only sold to adults. In addition, the open world concept is interesting and gives many players the sense of control they feel they need. With the boost in popularity, technology and the growth of the Minecraft universe, Microsoft will also be able to reap their new benefits and watch their company expand. Having the rights to the game is also an asset to Microsoft because all future releases will be under their jurisdiction. Hopefully the addition of Mojang to the software company will help the company prosper and lead to an even more successful Microsoft.

 

 

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