The UK’s Competition and Markets Authority (CMA) has announced that it had approved Microsoft’s revised offer to buy Activision Blizzard after its initial acquisition attempt was blocked by the antitrust regulator.
In August this year Microsoft made a concession that would see Ubisoft, instead of Microsoft, buy Activision’s cloud gaming rights. This new deal will put the cloud streaming rights (outside the EEA) for all of Activision’s PC and console content produced over the next 15 years in the hands of a strong and independent competitor with ambitious plans to offer new ways of accessing that content.
The CMA said the revised deal would “preserve competitive prices” in the gaming industry and provide more choice and better services. “We’ve made sure Microsoft can’t have a stranglehold over this important and rapidly developing market,” the regulator added.
The CMA’s approval brings to an end Microsoft’s two-year struggle to get approval for the takeover. The company had agreed to a $68.7 billion deal to buy Activision Blizzard in January 2022, but the CMA blocked the deals due to concerns it would be an anticompetitive move for the cloud gaming market.
Microsoft was unable to finalize the deal globally until CMA approval was granted.
Microsoft’s acquisition of Activision Blizzard was approved by regulators in several other regions and territories including Brazil, Chile, Japan, Saudi Arabia, Serbia, South Africa, and most recently, the European Union.
Microsoft hopes that its purchase of Activision Blizzard will boost sales of its Xbox console and that it will provide more titles for its Xbox Game Pass game streaming service.
Activision Blizzard is the publisher of several hit titles, including Call of Duty, Candy Crush, World of Warcraft, and more.
