Microsoft Activision-Blizzard will pass regulatory scrutiny, according to DFC, as long as additional concessions are offered.
Microsoft’s acquisition of Activision-Blizzard remains subject to approval, as CMA demands further concessions.
Microsoft Activision-Blizzard has been a subject of intense scrutiny by regulators worldwide, with concerns raised about potential anti-competitive practices in the gaming industry.
While Microsoft has signed deals with several cloud-serving gaming providers, the CMA has found that the merger could give Microsoft undue control over the gaming market, potentially restricting access to Activision games and harming competition.
The CMA has demanded further concessions from Microsoft to address these concerns, and the DFC maintains that the deal is still possible, provided that Microsoft is willing to make the necessary compromises.
The proposed deal has attracted criticism from some quarters, with opponents arguing that it could have a negative impact on the industry. However, others have defended the acquisition, noting that it could benefit consumers by creating a more diverse gaming ecosystem.
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Despite the controversy, Microsoft Activision-Blizzard have indicated that they are committed to pursuing the deal and are currently appealing the CMA’s decision.
It remains to be seen how much Microsoft is willing to compromise to secure approval for the acquisition, with analysts predicting a protracted battle that could stretch into 2024.
While an acceptable remedy for the CMA would likely limit Microsoft’s use of Game Pass to expand into other services, the company may be reluctant to make significant concessions that could undermine the strategic objectives of the merger.
Regardless of the outcome, the Microsoft Activision-Blizzard deal is sure to remain a hotly contested issue in the gaming industry for years to come.
Does Microsoft own Activision Blizzard?
This week dealt a significant and potentially game-ending blow to Microsoft’s colossal $69 billion acquisition of the video game giant Activision Blizzard.
What is the status of Microsoft’s acquisition of Activision?
Shortly after the British CMA tried to obstruct the deal, Microsoft’s acquisition of Activision Blizzard obtained its seventh approval, with the Antimonopoly Committee of Ukraine endorsing the proposed merger.
Is the Microsoft-Activision deal finalized?
On Thursday, April 28th, 2022, the sale of Activision Blizzard, the publisher of Call of Duty and Overwatch 2, to tech giant Microsoft was approved overwhelmingly by shareholders for $69 billion. This deal also grants golden parachutes to top executives, including the controversial CEO Bobby Kotick.
What shall become of my shares in Activision?
Upon completion, all employee shareholders of Activision Blizzard will be treated equally with other shareholders and receive $95.00 for each share of Activision Blizzard stock they possess.
What are the plans of Microsoft for Activision Blizzard?
In January 2022, Microsoft revealed its plan to purchase Activision Blizzard for $69 billion, marking one of the largest deals in the video game industry’s history. Nonetheless, some competitors of Microsoft disputed the acquisition, fearing it could result in Microsoft monopolizing the $200 billion gaming market.
Should one hold or sell Activision?
Based on the evaluations of 14 analysts on Wall Street, Activision Blizzard’s consensus rating among analysts is a Strong Buy.