The validation of the acquisition of Activision Blizzard by the various competition regulatory authorities in the world does not seem so acquired as that. And to put the odds on its side, Microsoft should make concessions to the European Union, according to Archyde.com sources.
Microsoft wants to show its credentials
Microsoft is expected to propose remedies to EU antitrust authorities in the coming weeks to avoid formal objections to its $69 billion bid for ‘Call of Duty’ maker Activision Blizzard, officials told Archyde.com. people close to the file.
As we mentioned, the European Commission has launched his in-depth investigation on November 8 following fears that the planned acquisition “reduces competition in the markets for the distribution of video games for consoles and personal computers and for PC operating systems”
The process is ongoing and the European Commission has until January to draw up an official list of competition concerns, known as a “statement of objections”. According to Archyde.com, if Microsoft offers guarantees before the publication of this document, it could shorten the regulatory process.
A step forward to speed up the process
According to Stéphane Dionnet, a partner at the law firm McDermott Will & Emery, Microsoft’s concessions should also be used to convince other authorities studying the case, such as the CMA in the United Kingdom or the FTC in the United States.
Ultimately, such a move could lead to rapid clearance from the European Commission and then be used by parties before other antitrust agencies.
However, it remains to be seen whether active plaintiffs will validate these concessions (particularly in terms of scope) and whether behavioral remedies will also be accepted by the CMA and FTC.
According to Archyde.com, one of the sources indicates that one of the concessions would be a 10-year licensing agreement with Sony, owner of Playstation.
The Call of Duty license is not mentioned here, but Sony has already largely occupied the ground in recent months to try to obtain the famous “lifetime” franchise on its consoles. Ten days ago, the New York Times claimed that Microsoft had offered Sony a 10-year deal for Call of Duty. For its part, the American company continues to reassure:
Sony, as an industry leader, says it’s worried about Call of Duty, but we said we’re committed to making the same game available the same day on Xbox and PlayStation. We want people to have more access to games, not less.
We recently learned that according to Politico, FTC may block Microsoft’s takeover of Activision and that a communication could arrive as early as next month. If Microsoft gets the EU’s backing and puts forward enough tangible arguments, it could reshuffle the cards.