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Yes, cede is playable

...and is worth 8 points.

Found in the following dictionaries

Enable (Words with friends)
SOWPODS (Collins Scrabble Words)
OTCWL2014 (NASPA Word List 2014)
TWL06 (NASPA List 2006)

"Cede" Definition

verb-transitive

To surrender possession of, especially by treaty. See Synonyms at relinquish.
To yield; grant: The debater refused to cede the point to her opponent.

verb

To yield or grant typically by treaty.

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