For anyone who is not in the entertainment industry, it might feel unnatural to read the three names – Disney, Marvel and Microsoft, in a single sentence. Sure, there is some relation between Disney and Marvel as they are in the same industry. But, Microsoft? That’s surely got to be an aberration here, right? Wrong. For starters, Disney owns Marvel. They bought Marvel way back in 2009. As for Microsoft, that is quite a long story.

In the late 90’s, both Microsoft and Disney wanted to partner together and push the Disney shows, movies and cartoons to Windows 98. That partnership did not come to be as both sides wanted to be the owner of this world’s biggest distribution system of entertainment content. Then, about a decade ago, the two behemoths tried to embrace each other again, wherein Disney’s content was to be pushed on Microsoft devices. However, that didn’t work out as planned either, due to a number of reasons. Things seem to have changed lately and the time may now finally be ripe for what can possibly become the largest entertainment platform in the world. Here is why the Disney, Marvel, and Microsoft partnership can mean a rain of gold for all of them.

Movies

Last year, we saw Disney Movies Anywhere become a reality. It is a movie streaming service for Xbox 360 and Windows platforms. Users of windows platforms can make use of this service to buy Disney movies once, and watch it on Xbox 360 or any Windows operating device of their choice. In effect, it is an online repository of movies – one that they never stand to lose or break, like a DVD or a Blu-Ray. That is, unless they lose their account login details. With this association, all movies made by Disney, and its various subsidiaries are available on one platform. Two of its biggest subsidiaries are Marvel and Pixar. So, their movies can also be purchased and watched by people on Disney Movies Anywhere. While this is a great step, the association has still not reached its full potential. Disney continues to offer its Disney Movies Anywhere on various other platforms too, including Android and iOS. But, there is potential here.

Microsoft has been planning turn its Xbox One platform from only a gaming platform to a complete entertainment system. It has even tasted some level of success at that. Having Disney and Marvel movies streaming on Xbox One exclusively for the first few days, before they are released on other platforms will bring huge revenues as well as improve the acceptance of Xbox One as the ultimate entertainment platform. For Microsoft, this is a huge win. Moreover, the Windows platform practically covers the entire globe in its reach. If Disney, and by default Marvel, gets access to this platform, then it will be able to release its movies across the globe at the same time and reach the farthest corners of the world. On a revenue sharing basis, both Disney as well as Microsoft will be in a win-win situation.

Games

Games based on Disney and Marvel characters are already a huge hit on various platforms, including Windows, Android and iOS. However, the games which are exclusively made for Xbox One or Windows platforms such as the Halo series, Inside, Sunset Overdrive, and others, can turn the tide towards or away

from the Microsoft’s platforms. If Disney, Marvel, and Microsoft come together to produce games exclusively for Windows, Xbox One, and Xbox 360 platforms, then they both stand to benefit hugely from it. For Microsoft, this means a dramatic increase in sales of its consoles, as well as game purchases on its platforms. For Disney and Marvel, this could mean a next level of diversification. Microsoft packs decades of experience producing some of the best game sagas the world has ever seen. Disney can utilize this to produce top-notch games based on Disney and Marvel characters. This will help them establish themselves in a market that recently surpassed the movie industry in total revenues. Another win-win for both the entities.

Comics and Cartoons

As mentioned before, Microsoft, through its Windows platform, can push Disney and Marvel’s content to every corner of the world. With that big a distribution network, sales of their comic books and cartoons can soar. People in international markets would have instant access to Disney and Marvel comics the moment they are released by them. The two organizations can even implement a subscription service, wherein the users get limited or unlimited access to all the content published on the Microsoft platforms, based on their purchase of various subscriptions.

Merchandising

Like it or not, merchandising is one of the biggest moneymakers for movie producers. People are ready to pay significantly higher prices for a movie based or character based edition of products, be it the Star Wars edition of the Microsoft Surface Book, or the Nokia Lumia Iron Man edition. If Microsoft gets merchandising rights on Disney and Marvel products, then apart from the Xbox series, Microsoft’s other products can also taste a similar success. As for Disney, it gets either a share of revenue from the sales, or it gets money for selling the merchandising rights to Microsoft.

Conclusion

The partnership between Disney and Microsoft has been long in waiting. With Marvel in the picture over the past few years, these three parties now have the potential to create a content creation and distribution system unlike anything the world has ever seen. They will together be commanding a huge chunk of the entertainment industry. However, both Disney and Microsoft seek from each other, what analysts have termed as “polygamous” relationship. Each party wishes to work with other players too, whose interests can be conflicting with those of the other party. If they wish to realize the full potential of their association, then they should solve this problem.