Microsoft clears a major hurdle on its way to approving

Microsoft clears a major hurdle on its way to approving deal with Activision Blizzard in the UK

UK Competition and Markets Authority (CMA) updated Preliminary results of an investigation into Microsoft’s $68.7 billion acquisition of game publisher Activision Blizzard.

    Image Source: Steam

Image Source: Steam

Recall that in a February report, the CMA admitted that completing the deal threatened to weaken competition in the country’s console and cloud gaming market, as Microsoft, among others, pushed Call of Duty into the Xbox -Exclusives might move.

In light of the analysis of the new evidence, the CMA has come to a tentative conclusion that the deal between Microsoft and Activision Blizzard will not lead to “a significant reduction in competition” in the UK console games market.

The key factor in changing the forecast was data received from the regulator, which suggests that the strategy of bringing Call of Duty to Xbox exclusive status will be unprofitable and economically unviable for Microsoft.

    Image Source: Steam (Make it Beautiful)

Image Source: Steam (Make it Beautiful)

In a statement to the channel CNBC Microsoft and Activision Blizzard officials responded positively to the CMA’s tentative decision and expressed their willingness to continue working with the regulator to resolve the remaining issues.

“Sony’s campaign to protect its dominance by blocking ours [с Microsoft] Deal is powerless against facts”— said the representative of Activision Blizzard in an interview with CNBC.

However, CMA still has concerns about the deal’s impact on competition in the cloud sector. The investigation continues: the British regulator promises to publish the final conclusions by April 26th.

About the author

Alan Foster

Alan Foster covers computers and games and all the news in the gaming industry.

Add Comment

Click here to post a comment