Following the UK regulator’s announcement that it might block the Activision Blizzard acquisition, Microsoft has acknowledged that will probably be interesting the CMA’s choice to cease the deal going by means of.
The CMA blocked the ABK acquisition on the grounds that it might “alter the way forward for the fast-growing cloud gaming market, resulting in diminished innovation and fewer selection for UK players through the years to return.” In an announcement responding to the announcement, Microsoft president Brad Smith mentioned that this rationale “seems to mirror a flawed understanding of this market and the way in which related cloud expertise truly works.”
Microsoft: “We stay totally dedicated to this acquisition”
Smith hasn’t been the only one to declare opposition to the CMA’s ruling, with Activision boss Bobby Kotick also speaking out. “Alongside Microsoft, we can and will contest this decision, and we’ve already begun the work to appeal to the UK Competition Appeals Tribunal,” he said. “We’re confident in our case because the facts are on our side: this deal is good for competition.” Kotick adds that the CMA’s decision “is far from the final word on this deal.”
It remains to be seen how the FTC will rule on the deal in the US, but in the meantime, it sounds like the gears are already in motion for Microsoft and Activision Blizzard to try and overturn the CMA’s decision to block the deal. Kotick is right — this saga is far from over.
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