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The two tech giants signed the memorandum of understanding this Thursday. The two companies will explore the potential of bringing the power of Microsoft Azure cloud infrastructure to Sony’s streaming services. The result will potentially enable the partners to provide “more enhanced entertainment experiences for their worldwide customers.”
The collaboration will also focus on improving AI experience for customers. To achieve this, the companies will consider integrating Microsoft Azure AI platform into Sony’s consumer products.
Finally, the partners see a lot of promise in hybridizing Microsoft’s AI capacities with Sony’s image sensors and semiconductors. The result might bring about new intelligent image sensor solutions.
The language of memorandum is rather vague. So, it’s unclear how exactly the potential collaboration will work around rivalry between Xbox and PlayStation. Despite the competitive dynamic, however, this partnership seems like a logical move in the face of the imminent expansion of the streaming market. Hosting Sony’s streaming services will greatly benefit Azure, Microsoft’s fastest growing business. Plus, Microsoft will be able to extend its cloud technology to new products, like Sony’s cameras and TVs. Sony, on the other hand, will take advantage of Microsoft’s cloud infrastructure to better compete with Stadia, Google’s upcoming streaming platform.
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