The Competition and Markets Authority (CMA) in the United Kingdom has said that it is open to a new investigation into the proposed acquisition of Activision Blizzard by Microsoft. This comes after the CMA initially blocked the deal in April, citing concerns that it would stifle competition in the cloud gaming market.
Microsoft has since offered to sell some of Activision Blizzard's assets, including the Call of Duty franchise, in an attempt to address the CMA's concerns. The company has also said that it is willing to make other concessions, such as giving rivals access to its technology.
The CMA has said that it will consider these proposals as part of a new investigation. If the CMA is satisfied that the deal will not harm competition, it could approve the acquisition. However, if the CMA remains concerned, it could block the deal again or impose conditions on it.
The CMA's decision to open a new investigation is a significant development in the Microsoft-Activision saga. It suggests that the CMA is willing to reconsider its initial decision, which could pave the way for the deal to go through.
However, it is still too early to say whether the deal will be approved. The CMA will need to carefully consider Microsoft's proposals and assess whether they are sufficient to address its concerns. The outcome of the investigation could have a major impact on the gaming industry, so it is likely to be closely watched by businesses and consumers alike.
Here are some additional details about the CMA's decision:
- The CMA said that it is open to a new investigation "subject to a number of conditions". These conditions include Microsoft providing more information about its proposals and giving the CMA more time to assess them.
- The CMA said that it will publish a statement of objections setting out its concerns about the deal in more detail. This statement will be published on the CMA's website.
- The CMA said that it expects to reach a decision on the deal by the end of 2023.
What does this mean for the gaming industry?
The CMA's decision to open a new investigation is a significant development for the gaming industry. It suggests that the CMA is willing to reconsider its initial decision, which could pave the way for the Microsoft-Activision deal to go through.
If the deal is approved, it would create a gaming giant with a vast portfolio of popular titles. This could have a major impact on the industry, as it could lead to consolidation and higher prices for consumers.
However, it is still too early to say what the ultimate impact of the deal will be. The CMA's investigation will be closely watched by businesses and consumers alike, and it will be interesting to see how the industry evolves in the years to come.
