UK Blocks Microsoft’s , Activision Blizzard Deal.
UK Blocks Microsoft’s , Activision Blizzard Deal.
CNN reports that the Competition and Markets Authority (CMA) blocked the $69 billion acquisition on April 26.
CNN reports that the Competition and Markets Authority (CMA) blocked the $69 billion acquisition on April 26.
The antitrust regulator said it feared the deal would cause "reduced innovation and less choice for U.K. gamers over the years to come.".
According to the CMA, Microsoft's 60%-70% global share in cloud gaming would become "even stronger" if the deal was to go through.
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According to the CMA, Microsoft's 60%-70% global share in cloud gaming would become "even stronger" if the deal was to go through.
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The cloud allows U.K. gamers to avoid buying expensive gaming consoles and PCs and gives them much more flexibility and choice as to how they play.
, Competition and Markets Authority, via statement.
The cloud allows U.K. gamers to avoid buying expensive gaming consoles and PCs and gives them much more flexibility and choice as to how they play.
, Competition and Markets Authority, via statement.
Allowing Microsoft to take such a strong position in the cloud gaming market just as it begins to grow rapidly would risk undermining the innovation that is crucial to the development of these opportunities, Competition and Markets Authority, via statement.
The evidence available… indicates that, absent the merger, Activision would start providing games via cloud platforms in the foreseeable future, Competition and Markets Authority, via statement.
The CMA estimates that by 2026, the U.K. cloud gaming market may be worth about $1.2 billion.
Microsoft and Activision both plan to appeal the regulator's decision.
Microsoft and Activision both plan to appeal the regulator's decision.
Alongside Microsoft, we can and will contest this decision, and we’ve already begun the work to appeal to the U.K. Competition Appeals Tribunal, Bobby Kotick, Activision Blizzard CEO, via statement.
This decision appears to reflect a flawed understanding of the market and the way the relevant cloud technology actually works, Brad Smith, President of Microsoft, via statement.
CNN reports that the U.S. Federal Trade Commission, which sued to block the deal in December, will conduct a hearing in August
