U.K. regulators has Agreed on Microsoft’s $68.7B acquisition of Activision

On September 22, 2023, the UK’s Competition and Markets Authority (CMA) finally approved Microsoft’s $68.7 billion acquisition of Activision Blizzard. The approval comes after months of scrutiny from regulators around the world, and it clears the way for Microsoft to complete the largest acquisition in gaming history.

The CMA’s approval is a significant victory for Microsoft. The company has been facing increasing competition from Sony and other gaming giants, and the acquisition of Activision will give it a major boost in the gaming market. Activision Blizzard is one of the largest and most successful game publishers in the world, and its portfolio includes some of the most popular franchises in gaming, such as Call of Duty, Overwatch, and Candy Crush.

“The deal with Ubisoft also requires Microsoft to port Activision games to operating systems other than Windows and support game emulators when requested, addressing the other main shortcoming with the previous remedies package,” the regulator said.

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Activision Blizzard said in a statement, “The CMA’s preliminary approval is great news for our future with Microsoft. We’re pleased the CMA has responded positively to the solutions Microsoft has proposed, and we look forward to working with Microsoft toward completing the regulatory review process.”

The CMA’s approval is also a sign that the UK is open to major tech deals. The CMA had previously blocked a number of tech deals, including Facebook’s acquisition of Giphy and Nvidia’s acquisition of Arm. However, the CMA’s approval of the Microsoft-Activision deal shows that the UK is willing to approve major tech deals, as long as they are not seen as harming competition.

Microsoft’s president, Brad Smith, said in a statement, “We are encouraged by this positive development in the CMA’s review process. We presented solutions that we believe fully address the CMA’s remaining concerns related to cloud game streaming, and we will continue to work toward earning approval to close prior to the October 18 deadline.”

For Microsoft, the acquisition will give it a major boost in the gaming market. Activision Blizzard is one of the largest and most successful game publishers in the world, and its portfolio includes some of the most popular franchises in gaming, such as Call of Duty, Overwatch, and Candy Crush. The acquisition will also give Microsoft access to Activision Blizzard’s talent and expertise, which will help the company to develop and publish even more successful games.