TOKYO -- In May, Sony CEO Kenichiro Yoshida faced his counterpart at Microsoft, Satya Nadella, on the sprawling campus in Redmond, Washington, that houses the world's largest software maker.

The $130 billion video game industry is facing its "Netflix moment:" a coming streaming boom will sap the market for physical consoles. (Photo by Yuki Kohara)
Former rivals Sony and Microsoft ally to take on new 'cloud gaming' platforms
TOKYO -- In May, Sony CEO Kenichiro Yoshida faced his counterpart at Microsoft, Satya Nadella, on the sprawling campus in Redmond, Washington, that houses the world's largest software maker.