The UK Competition and Markets Authority (CMA) surprised everyone today by changing its stance on Microsoft’s purchase of Activision Blizzard King, saying the deal does not pose a threat to the competitive environment in video games. . This statement was celebrated by Xbox and of course by Microsoft, whose president was quick to recognize the regulator.
Video: No Call of Duty, no PlayStation exclusives
Microsoft Chairman Brad Smith Welcomes CMA Change of Position
After the CMA made official that one of its provisional conclusions regarding the largest deal in the history of gaming is favorable for Microsoft, Brad Smith, president of the company, thanked the change in position of the British regulator and the consensus that was is forming for the unanimous approval of the acquisition, something that they believe will be beneficial for competition in the world of video games: “we appreciate the detailed and objective analysis of the CMA. Its interim update highlights a growing consensus on the part of those who have access to the most up-to-date data that this deal will create more competition in the console market, not less.”
We appreciate the CMA’s additional detailed and objective analysis. Its provisional update underscores a growing consensus by those with access to the most current data that this deal will create more competition in the console market, not less.https://t.co/f62yUf9Wyi
— Brad Smith (@BradSmi) March 24, 2023
The updated position of the CMA is a direct consequence of the remedies offered by Microsoft. The British regulator points out that after analyzing data and arguments, there is no reason to think that the Xbox company will make Call of Duty an exclusive product in addition to the fact that the company is committed to keeping it on PlayStation. The only doubt that there is at this moment has to do with the gaming business in the cloud, but other factors will be analyzed there and not the opposition of PlayStation.
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In this way, it is expected that in the coming weeks the position of the European Union will be similar and at the end of April the purchase could be approved in Europe, leaving the United States and its Federal Trade Commission as the last level and final boss.
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