Sony and Microsoft are teaming up on gaming and entertainment in the cloud

Kenichiro Yoshida, President and CEO, Sony Corporation (left), and Satya Nadella, CEO, Microsoft. The two tech companies are teaming up on the development of cloud gaming systems. (Photo: Courtesy of Microsoft & Sony)

Microsoft and Sony announced today in an unlikely turn of events that they will tackle the entertainment future. The companies plan to work together to build future cloud solutions to support gaming and content streaming in Microsoft Azure. For its existing game and streaming platforms, Sony will also use Microsoft data centers. Despite previous reluctance among competing firms, the agreement could open up the possibility of cross-play in the future.

Effectively, the partnership allows Sony to tap Microsoft’s technology to help with areas the firm has been struggling with. Sony has been taking heat over slow download speeds for years, something that hasn’t typically plagued owners of Xbox. Using Azure data centers and eventually moving to cloud solutions from Microsoft should enable Sony to focus on its own platform instead of trying to solve technical problems. Sony will also tap artificial intelligence services from Microsoft to improve its products ‘ user interface.

So what’s coming out of the deal from Microsoft? In addition to adding a major customer to its already highly profitable cloud business, the company will gain access to Sony’s image sensors, which it plans to use to create “new intelligent image sensor solutions.” Companies appear primarily focused on how to improve sensor functionality for business customers, though consumer solutions— though consumer solutions — an improved system in the Kinect style, for example — are also possible.

Source: Microsoft