Abstract

The case is about Microsoft Corporation’s acquisition of the US-based id8 Group R2 Studios. The case discusses the need for the acquisition and the advantages that will accrue to Microsoft through the acquisition. It describes the competition in the home automation technology business and how Microsoft can use R2 Studios to grab a good market share in the business, which is an extremely competitive one.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• To discuss the need for acquisition and acquisition as a growth strategy.
• To discuss how the acquisition of R2 Studios will help Microsoft.

Keywords

Microsoft Corporation, Acquisition, Strategy, Growth Strategies, Gaming Consoles, Xbox, Entertainment Business, Home Automation Technology