On Tuesday, Microsoft resubmitted a revised proposal for the acquisition of Activision Blizzard, taking a series of measures in response to the rejection of its initial offer by U.K. regulators.
In January 2022, Microsoft had initially proposed a $69 billion takeover of Activision, but it encountered regulatory hurdles in the U.S., Europe, and the U.K., as reported by CNBC.
The U.K.’s Competition and Markets Authority (CMA) officially blocked the original deal, but a new and restructured agreement has been reached between Microsoft and Activision. The CMA will now undertake an investigation into this revised deal, with a decision deadline set for October 18.
Related: FTC To Appeal Decision Allowing Microsoft’s Acquisition Of Activision Blizzard
Microsoft’s President, Brad Smith, stated on Tuesday that the company is optimistic that the review process can be concluded before the specified deadline.
The adjusted agreement stipulates that Microsoft will not secure cloud rights for existing Activision PC and console games, as well as any new games released by Activision within the next 15 years. These rights are instead slated to be transferred to Ubisoft Entertainment, a French game publisher, prior to Microsoft’s acquisition of Activision, according to the CMA.
The CMA has been particularly critical of this acquisition, expressing concerns that it could potentially stifle competition within the emerging cloud gaming sector.
Cloud gaming is poised to be the industry’s next frontier, introducing subscription services that enable users to stream games akin to how they access movies or shows on platforms like Netflix. This innovation might even eliminate the need for expensive gaming consoles, allowing players to engage with games on various devices such as PCs, mobile devices, and TVs.
Source:CNBC
Featured News
Mexico Moves Forward with Reform to Eliminate Key Regulators, Including Competition Watchdog
Aug 23, 2024 by
CPI
DOJ Sues RealPage for Alleged Rent-Fixing Scheme Using AI Software
Aug 23, 2024 by
CPI
Advance Auto Parts to Offload Worldpac for $1.5 Billion
Aug 22, 2024 by
CPI
Bronfman Ups Ante to $6 Billion in Paramount Battle, Skydance Deal at Risk
Aug 22, 2024 by
CPI
Google and California Strike Historic Deal to Fund Newsrooms Amid Controversy
Aug 22, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – State Attorneys General
Aug 22, 2024 by
CPI
CPI Talks… …With Attorney General Phil Weiser
Aug 22, 2024 by
CPI
The Bipartisan Miracle of State Antitrust Enforcement
Aug 22, 2024 by
Gwendolyn J. Lindsay Cooley
Recent Developments in State Antitrust Enforcement: Agriculture and Food Markets
Aug 22, 2024 by
Elizabeth R. Odette
State Attorneys General: Stewards of Consumer Health and Welfare
Aug 22, 2024 by
Brooke Howlett Lovrovich