May 2, 2023
U.K. CMA eases stance on pending Microsoft-Activision merger
The U.K. Competition and Markets Authority (CMA) has recently announced that it will be easing its stance on the pending Microsoft-Activision merger. This decision comes as a surprise to many, as the CMA had previously expressed concerns about the potential impact of the merger on competition in the gaming industry.
The Microsoft-Activision merger, which was announced in January 2022, is set to be one of the largest deals in the history of the gaming industry. The deal will see Microsoft acquire Activision Blizzard, one of the world's largest video game publishers, for a reported $68.7 billion.
The CMA had initially expressed concerns about the merger, stating that it could lead to a reduction in competition in the gaming industry. The authority had also raised concerns about the potential impact of the merger on the prices of video games and the quality of service provided to consumers.
However, the CMA has now announced that it will be easing its stance on the merger, stating that it has received new information from Microsoft and Activision that has addressed its concerns. The authority has stated that it is now satisfied that the merger will not have a negative impact on competition in the gaming industry.
This decision has been welcomed by both Microsoft and Activision, who have been working closely with the CMA to address its concerns. In a statement, Microsoft stated that it was pleased with the CMA's decision and that it was looking forward to completing the merger.
The Microsoft-Activision merger is set to have a significant impact on the gaming industry, with the combined company set to become one of the largest players in the market. The deal is also expected to have a significant impact on the future of gaming, with Microsoft and Activision set to work together to develop new technologies and gaming experiences.
Overall, the decision by the U.K. CMA to ease its stance on the Microsoft-Activision merger is a positive development for the gaming industry. The merger is set to bring together two of the world's largest gaming companies, and the combined company is expected to drive innovation and growth in the industry for years to come.