The CMA blocks the purchase of Activision Blizzard by Microsoft

2023-04-26 11:32:22

The CMA blocks the purchase of Activision Blizzard by Microsoft for the cloud gaming market

The CMA has argued that Microsoft’s position in the cloud gaming service is already the most dominant in the market, even without the purchase of Activision Blizzard. Therefore, the body has considered that, if the acquisition is carried out, those of Redmond would have a position of great advantage with respect to the rest of the competitors in this market, which makes it impossible to approve the purchase.

Microsoft prepares to close the purchase of Activision even if it goes to trial with the FTC

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As we have commented, Microsoft proposed a series of concessions that, a priori, might seem more than enough for the operation to continue its course. However, the agreements with NVIDIA for GeForce Now and with the rest of the streaming game brands seem not to have been enough for the British organization, which, despite this, thinks that Microsoft’s position would be too dominant in a market that is ending. to be born, removing the possibility for the rest of the competitors to reach their position.

And now that?

Once it has been confirmed that the CMA blocks the purchase of Activision Blizzard, the next step is to appeal the agency’s decision, in the same way that Apple filed an appeal in its trial with Epic Games, which it ultimately won. For now it is too soon to know how this resource will end, but there is no doubt that those from Redmond will take all possible actions so that this deal ends up coming to fruition.

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