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Business deals

Sony and Microsoft set rivalry aside for cloud gaming alliance

Console war veterans join forces against the likes of Google and Apple

Microsoft and Sony plan to jointly develop a cloud gaming service, though the Xbox and PlayStation will continue to compete with each other.   © Reuters

TOKYO -- Sony and Microsoft, bitter rivals in the video game console wars, will team up in on-demand gaming to better compete with newcomers like Google as the industry's main battlefield looks poised to shift to the cloud, Nikkei learned Thursday.

During a recent trip to the U.S., Sony President and CEO Kenichiro Yoshida signed a memorandum of understanding with Microsoft CEO Satya Nadella on a strategic tie-up. While details have yet to be hammered out, the partnership will center on artificial intelligence and the cloud, according to an announcement by Microsoft early Friday Japan time.

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