Sony bought Housemarque, Bluepoint, Nixxes, Firesprite and teamed up with three new third party studios from ex-Treyarch devs, ex-Bungie devs, and ex-Motive devs/Jade Raymond's new studio.
MS is just playing on a completely different level.
Sony should not overreact and buy Square or Capcom or partner with Ubisoft or EA. They need to go back to the PS3 era strategy of investing in smaller but talented studios like GG, Evolution Studios, Sucker Punch and Insomniac. Then buy them out if they show promise.
$70 billion on a studio that just makes CoD and World of Warcraft is just too much. They can do a lot more with just one billion.