This was exactly it. They took a bet and it didn't work in the slightest. They have no option but to go third party now. They've inherited thousands of staff that need wages covered. They've fucked it completely.
They better hope sony and nintendo owners buy the games or they are screwed.
I bet Phil and Co are fucking screaming that they didnt make this decision while the court case was going on. They could have probably avoided a shit load of head ache.
If they made different decisions in the lead up to the Activision acquision they probably would have been on the situation where they could have complete freedom to do as they wish with COD.
They didn't play it smart at all. Bethesda and it's properties could have served as a temporary sacrificial lamb to be able to make COD exclusive.
Easy to say all this in hindsight of course, but these guys are paid huge amounts of money so should have been able to anticipate the regulatory pushback, especially considering how they handled Bethesda's upcoming games the moment they took the reigns.
I am biased since I consider Starfield to be a piece of shit (I prefer Suicide Squad to it, unironically), but I doubt the game will sell as well as it could have at launch.
That said, the port can't cost much and will probably still be profitable.