Microsoft – Activision Blizzard: The green light for game acquisition of the century

The UK Competition and Markets Authority (CMA) has announced the approval of the acquisition agreement for Activision Blizzard by Microsoft, after taking into account the company’s new proposals that effectively “allayed” its previous concerns.

At the heart of Microsoft’s revised August takeover proposal is the sale of Activision’s streaming rights to Ubisoft Entertainment to ensure that the terms of the sale are enforceable by the regulator, alleviating identified concerns.

The approval paves the way for Microsoft to complete the deal by October 18, after a three-month extension in July for British approval.

“We look forward to joining the Microsoft team.”

The Capital Markets Authority said that Microsoft’s retreat from streaming content was a “game changer,” adding that it was the only authority in the world to achieve this result. “The new agreement will prevent Microsoft from blocking competition in cloud gaming, and maintain competitive prices and services for UK cloud gaming customers,” it said in a statement.

Microsoft announced what would become the largest acquisition in the history of video games in early 2022, but the $69 billion takeover was blocked in April by the Capital Markets Authority, which was concerned that the US tech giant would gain too much control over… The emerging cloud video game market.

data

“We have sent a clear message to Microsoft that the deal will be blocked unless they fully address our concerns,” CMA chief executive Sarah Cardell told Reuters. He said the regulator, which has gained more power since Brexit, made its decisions “free from political influence” and would not be influenced by corporate pressure.

“Microsoft had the opportunity to restructure the acquisition agreement during our initial investigation, but instead continued to insist on a package of measures that we told them simply would not work,” he concluded.

Microsoft, for its part, announced that it is “grateful for the comprehensive study and decision of the Capital Markets Authority.”

“We have overcome the final regulatory hurdle to close this acquisition, which we believe will benefit users and the video game industry around the world,” said company president Brad Smith.

Finally, Activision Blizzard announced: “The official approval from the CMA is great news for our future with Microsoft, and we look forward to joining Team Xbox.”

source: OT.gr