Stocks NewsTrading News

Britain Clears Microsoft $69 Billion Activision Blizzard Deal


In a significant development, Britain’s antitrust regulator has given the green light to Microsoft’s acquisition of the renowned gaming giant, Activision Blizzard. The decision comes after Microsoft addressed the concerns raised earlier, ultimately clearing the path for the $69 billion deal.

Revised Deal Eases Concerns

Back in August, Activision agreed to sell its streaming rights to Ubisoft Entertainment. While Microsoft, last month, introduced remedies to ensure the sale’s terms were enforceable, successfully alleviating some lingering concerns.

New Deadline Set

With this crucial approval, Microsoft is set to finalize the acquisition by October 18. It’s worth noting that the company had previously extended the deadline by three months in July. Thus, it is a move aimed at securing the necessary approval in the UK.

Read More: US CPI Inflation Holds Steady at 3.7%

CMA’s Praiseworthy Move

The Competition and Markets Authority (CMA) praised Microsoft’s concessions regarding streaming, deeming it a “gamechanger.” Notably, it asserted itself as the only global competition agency to deliver such an outcome.

Preserving Fair Competition

In a statement, the CMA stated, “The new deal will prevent Microsoft from monopolizing the cloud gaming market, safeguarding competitive pricing and services for UK cloud gaming customers.”

Microsoft had originally announced this monumental gaming deal in early 2022. However, the $69 billion acquisition faced a setback in April when the CMA blocked it due to concerns over the U.S. tech giant’s potential dominance in the emerging cloud gaming market.

CMA Stands Firm

Sarah Cardell, the Chief Executive of CMA, emphasized their unwavering stance: “We made it clear to Microsoft that the deal would not go through unless they comprehensively addressed our concerns, and we stood by that decision.”

Furthermore, she stressed the CMA’s independence from political influence and the agency’s resistance to corporate lobbying, stating, “Microsoft’s tactics had no influence on our decision-making process.”

Microsoft’s Response

Microsoft expressed gratitude for the CMA’s thorough review and decision. Brad Smith, Vice Chair and President, asserted, “We’ve now overcome the final regulatory obstacle to complete this acquisition, which we believe will benefit players and the global gaming industry.”

Activision Blizzard’s Optimism

Activision Blizzard welcomed the official approval from the CMA, stating, “The CMA’s official approval is great news for our future with Microsoft, and we look forward to becoming part of the Xbox Team.”

This approval marks a pivotal moment in the gaming industry, with Microsoft poised to make history with its groundbreaking acquisition.

Do you need help in finding the best forex broker for your needs?
Click here: The Best Forex Broker Finder

Disclaimer: Please note that this article serves solely for informational purposes. As such, it is not financial advice. We strongly advise readers to conduct thorough research and consult with financial professionals before making any investment decisions.


Related Posts

Leave a Reply

Your email address will not be published. Required fields are marked *