Sony collaboration reportedly shocked PlayStation staff

If you think you were shocked, though, spare a thought for the PlayStation team.

The story cites people with knowledge of the situation who say Sony negotiated with Microsoft on the deal "largely without the involvement" of the PlayStation team.

The report details that Sony's negotiations with Microsoft began past year and were handled by Sony's senior management in Tokyo.

Unsurprisingly, many staff members within the division were caught off-guard, with some voicing out concern for their future in the company over the new deal.

It is said that Sony first approached Amazon but couldn't agree on a deal, and that Amazon themselves are launching a streaming service in the future.

Reports suggest that Nintendo are also in talks with Microsoft in regards to streaming platforms, analysts suggest that with Sony on board Azure will become he industry standard for cloud deployment, a position that will only be strengthened if Nintendo join up. However, the two sides could not come to terms over the business side, according to a source.

In a move that apparently surprised Sony's PlayStation division, the two companies have announced a major partnership around utilising Microsoft Azure "to support their respective game and content-streaming services". Additionally, Microsoft and Sony will work together to explore the possibility of Sony leveraging Microsoft's Azure datacenters for Sony's game and content streaming platforms.

Microsoft said today that it will partner with Sony, its chief rival in the gameing console space, on "new cloud-based solutions for gaming experiences". "Sony feels threatened by this trend and the mighty Google, and has chose to leave its network infrastructure build-up to Microsoft", adds Asymmetric Advisors strategist Amir Anvarzadeh. Sony will be utilizing Microsoft's cloud service, which makes me question what the PlayStation creator is bringing to the table.

PlayStation Now, Sony Interactive Entertainment's On-Demand game service is out now with over 750 games for $19.99/month or $9.99/year.

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