Microsoft’s acquisition of Activision Blizzard is taking a significant step forward soon as the EU approves the deal. This is a big deal after what happened with the Competition and Markets Authority. Even if the United Kingdom’s regulatory body has already moved to block the deal, it has decided to impose further restrictions for both companies,
The CMA, acting as the main regulatory body, has a duty to preserve the competition within the UK market. It’s under the belief that this merger could potentially stifle competition, prompting the CMA to take action.
According to the interim order, the CMA is restricting Activision Blizzard from acquiring any interest in Microsoft without a direct approval from the CMA.
Both Microsoft and Activision Blizzard are giants within the gaming industry. As such, the CMA worries that the union could a monopoly. This concern has led to the imposition of various restrictions aimed at maintaining a level playing field for all competitors. The restrictions center around maintaining a competitive market, keeping gaming costs fair, and preserving the interests of the gaming community.
The CMA isn’t the only regulatory body keeping a close eye on the merger. Across the pond, the Federal Trade Commission (FTC) is watching the situation unfold with a keen eye.
Just like the CMA, the United States’ regulatory body worries about the potential impact of the deal on the entire industry. However, unlike the CMA, the FTC has yet to specify its objections and recommend measures.
Despite these hurdles, Microsoft has expressed its confidence in the completion of the deal. It maintains that the purchase is beneficial for all gamers as it allows both companies to offer better-quality games, advancing the entire industry while it promotes fair and open competition. The company believes in its ability to sail through tumultuous regulatory waters in order to achieve its goals.
This acquisition will send ripples throughout the gaming world for years to come. The only question now is, when will this buyout happen?
In the meantime, Activision Blizzard isn’t losing any sleep at all. The company is pressing forward with the release of Diablo 4 on June 6, with this year’s Call of Duty reportedly set for an October launch.
