The European Commission (E.C.) said Microsoft had addressed their concerns on competition issues.
It comes three weeks after the U.K. blocked the deal over concerns it would harm competition in the emerging cloud gaming business.
It has divided regulators worldwide, but the proposed takeover is poised to be the largest deal in gaming history.
Activision and Microsoft need approval from regulatory agencies in the U.K., EU. and the United States for the deal to go through.
The U.S. Federal Trade Commission filed a lawsuit in December to block the deal – A decision by a judge is unlikely before the end of the year.
Microsoft’s $69 billion acquisition of Activision Blizzard has been approved by the European Union (E.U.) after being blocked by the U.K. The deal, the biggest ever in the gaming industry, is expected to close in 2023.
The E.U.’s approval of the deal is a major victory for Microsoft, which has been facing antitrust scrutiny from regulators worldwide. The U.K.’s Competition and Markets Authority (CMA) blocked the deal in April 2023, saying it would harm cloud gaming competition. Microsoft has appealed the CMA’s decision.
The acquisition of Activision Blizzard will give Microsoft a significant boost in the gaming industry. The company will own franchises, including some of the world’s most popular video games, such as Call Of Duty, World Of Warcraft, and Candy Crush. This will make Microsoft a major mobile, P.C., and console gaming market player.
The deal is also a sign of Microsoft’s ambitions in the Metaverse. Activision Blizzard is a leader in creating immersive gaming experiences and could use its games to develop new metaverse experiences.
Microsoft’s acquisition of Activision Blizzard is a significant move to become a dominant force in the gaming industry. The deal will likely impact the gaming landscape significantly, and regulators and gamers worldwide will closely watch it.
Here are some key reasons why the E.U. The agreement approved:
- Microsoft offered several commitments to address the E.U.’s concerns about competition. These commitments include: Microsoft will make Activision Blizzard games available on competing gaming platforms for at least ten years.
- Microsoft will not use its ownership of Activision Blizzard to give its cloud gaming service an unfair advantage.
- Microsoft will sell some of Activision Blizzard’s assets, including the Candy Crush game franchise.
- The E.U. found that the deal would not significantly harm competition in the gaming market. The E.U. said that there are other significant players in the market, such as Sony and Nintendo, and that Microsoft’s acquisition of Activision Blizzard would not give it a monopoly.
- The E.U. also found that the deal would be beneficial to consumers. The E.U. said the agreement would lead to more innovation and choice in the gaming market.
The approval of the deal by the E.U. is a major victory for Microsoft. The deal is expected to close in 2023, giving Microsoft a major boost in the gaming industry.
Here are some key differences between the E.U. and the U.K.’s decision on the deal:
- The E.U. found that the deal would not significantly harm competition in the gaming market, while the U.K. found that it would.
- The E.U. found that the deal would benefit consumers, while the U.K. did not.
- The E.U. approved the deal, while the U.K. blocked it.
It is still being determined why the E.U. and U.K. reached different conclusions on the deal. However, the E.U.’s decision was influenced by the fact that Microsoft offered several commitments to address its concerns about competition, while the U.K. did not.
For the deal to be approved, Microsoft and Activision need approval from regulatory agencies in the U.K., E.U. And the United States of America.
The proposed takeover by the U.S. Federal Trade Commission is poised to become the biggest deal in gaming history but has divided regulators worldwide.
Cloud gaming commitments fully address the competition concerns identified by the Commission and significantly improve the current situation,” E.U. The competition watcher informed this information in a statement.
It said that an in-depth market investigation indicated that Microsoft “will not be able to harm competing consoles and competing multi-game subscription services”.
The European Commission (E.C.) said Microsoft had addressed competition concerns.
It comes three weeks after the U.K. blocked the deal due to concerns that it would harm competition in the emerging cloud gaming business.
Regulators across the globe are divided over the potential takeover, which would be the biggest deal in gaming history.
The deal with Microsoft and Activision is subject to approval from regulatory agencies in the U.K., E.U. and U.S.
The U.S. Federal Trade Commission filed a lawsuit to block the deal in December — with a judge’s decision unlikely before the end of the year.
Microsoft’s $69 billion acquisition of Activision Blizzard has been approved by the European Union (E.U.) after the U.K. blocked it. The deal, the biggest ever in the gaming industry, is expected to close in 2023.
The E.U.’s approval of the deal is a significant victory for Microsoft, which has faced antitrust probes from regulators worldwide—the U.K.
Competition and Markets Authority (CMA) blocked the deal in April 2023, saying it would harm competition in the cloud gaming market. Microsoft has appealed against the CMA’s decision.
Activision’s acquisition of Blizzard will give Microsoft a significant boost in the gaming industry. The company will own some of the world’s most popular video game franchises, including Call of Duty, World of Warcraft and Candy Crush. This would make Microsoft a significant player in the mobile, P.C. and console gaming markets.
The deal is also indicative of Microsoft’s ambitions in the Metaverse. Activision Blizzard is a leader in creating immersive gaming experiences and can use its games to build new Metaverse experiences.
Acquiring Activision Blizzard is a significant step for Microsoft to become a dominant force in the gaming industry. The deal could have a substantial impact on the gaming landscape and will be watched closely by regulators and gamers around the world.
Here are some key reasons why the E.U. approved the deal:
Microsoft has made several commitments to address the E.U.’s concerns about competition. Among these commitments are:
Microsoft Activision will make Blizzard games available on competing gaming platforms for at least ten years.
Microsoft will not use its ownership of Activision Blizzard to give its cloud gaming service an unfair advantage.
Microsoft will sell some of Activision’s assets to Blizzard, including the Candy Crush game franchise.
The E.U. found that the deal would not significantly harm competition in the gaming market. The E.U. says other prominent players in the market, such as Sony and Nintendo, and that Microsoft’s acquisition of Activision Blizzard will not give it a monopoly.
The E.U. also found that the deal would be beneficial for consumers. The E.U. said the agreement would lead to more innovation and choice in the gaming market.
The ratification of the agreement by the E.U. is a significant victory for Microsoft. The deal is expected to close in 2023 and will give Microsoft a considerable boost in the gaming industry.
The E.U. has ratified the agreement, and the U.K. has blocked it.
It is still being determined why the E.U. and the U.K. have come to different conclusions on the deal. However, the E.U.’s decision was influenced by the fact that Microsoft had made several commitments to address its concerns about competition while the U.K. had yet to.
The deal with Microsoft and Activision is subject to approval from regulatory agencies in the U.K., E.U. and U.S.
The U.S. Federal Trade Commission filed a lawsuit in December to block the deal. Judges are likely to decide before the year’s end significant improvement has been made for cloud gaming since the Commission identified competition concerns,” the E.U.’s competition watchdog said in a statement.
It said an in-depth market investigation indicated that Microsoft “would not harm competing consoles and multi-game subscription services”.
significant handicap
Last month, a shock veto of the deal by the U.K.’s Competition and Markets Authority (CMA) warned experts the deal now faces significant hurdles to succeed.
Microsoft and Activision have filed an appeal and hired high-powered lawyers who have previously represented British royals to fight the decision.
ON THURSDAY, the CMA dealt a further blow by restricting Microsoft and Activision Blizzard from acquiring each other’s partnerships without “prior written consent”.
Responding to the European Commission’s statement, CMA Chief Executive Sarah Cardell said they stand by their decision.
Cloud gaming – is it the future?
The deal is essential for Microsoft, which is trying to play catch-up with its main rival Sony. They’ve been the more successful of the two in recent years in terms of sales in the console market.
However, this massive investment effort by Microsoft could be seen as a play for the future of games rather than the present. Microsoft is betting big on the Game Pass service, which can be described as the Netflix of games.
They assume that players have a subscription to the library rather than making a purchase – which is the primary way to access the game at the moment.
The CMA blocked the decision in the U.K., arguing it would leave. In this up-and-coming sector, Microsoft is in a very dominant position.
A post-Brexit conflict?
U.S. tech giants have yet to take the U.K. blow quietly. Brad Smith, president of Microsoft, said the CMA decision was “bad for Britain”.
“This does more to shake our confidence in the future of opportunities to grow technology businesses in Britain than we have ever faced before,” he told the BBC in an interview last month.
“There is a clear message here – the E.U. is a more attractive place to start a business than the U.K.”
The drama is far from over, and much money is on the line. Activision Blizzard, for example, would still get $3 billion from Microsoft if the deal fell through.
