This would be massive, Kadokawa is a hell of a lot more than just Elden Ring. They're one of the biggest media publishers in Japan. Books, manga, anime, games, you name it.
Spike Chunsoft also developed the Pokemon Mystery Dungeon games and, fairly recently, the new Dragonball game that, as far as I know, got good reception.
Kinda lame that these developers will be locked to PS or (months after release) Steam with PSN Account.
EDIT: And according to comments from Reddit, Kadokawa is a huge corporation that also distributes anime, manga and light novels. This isn't just about games.
Kadokawa is a massive publisher of books and media in Japan.
For that reason alone I hope this is blocked. It would make Sony too huge in Japan to reasonably compete with outside of Shueisha and directly incentivize brand exclusivity deals.