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Microsoft's Activision Blizzard deal will not greatly lessen competition, says CMA

The CMA says that it has narrowed the scope of its concerns regarding the pending Microsoft deal.

Donovan Erskine

March 24, 2023 7:38 AM

Microsoft

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As Microsoft looks to complete its $68.7 billion acquisition of Activision Blizzard, it will need to get government clearance before the deal can officially go through. UK regulators have been particularly concerned with the potential ramifications of such a merger. The Competition and Markets Authority, better known as the CMA, provided a new update in its dive into the proposed Microsoft Activision Blizzard deal. Despite having some preliminary concerns, the CMA now says that it doesn’t believe the deal would “substantially lessen” competition.

The CMA published an updated report today in which it provided new details since it expressed concerns about Microsoft’s attempt to acquire Activision Blizzard earlier this year. Now, the CMA appears to have relaxed some of its concerns, saying it’s narrowed its scope. Martin Coleman, chair of the independent panel of experts leading the CMA investigation states in the report that the group doesn’t have severe anti-competitive concerns about Microsoft acquiring Activision Blizzard.

This is a positive sign for Microsoft, as UK regulators are arguably the largest obstacle holding up its pending acquisition. Microsoft has been making business plans for if the deal does go through, which includes multiple 10-year deals to bring games like Call of Duty to other platforms, and opening its own mobile game store.

Whether or not the merger crosses the line of being anti-competitive has been a hotly debated topic ever since Microsoft announced its plans to acquire the owner of Call of Duty and Overwatch back in 2022. We could be gearing up for a final verdict on the matter, make sure you visit our Microsoft topic page for the latest details.

Donovan Erskine

News Editor

Donovan is a young journalist from Maryland, who likes to game. His oldest gaming memory is playing Pajama Sam on his mom's desktop during weekends. Pokémon Emerald, Halo 2, and the original Star Wars Battlefront 2 were some of the most influential titles in awakening his love for video games. After interning for Shacknews throughout college, Donovan graduated from Bowie State University in 2020 with a major in broadcast journalism and joined the team full-time. He is a huge Scream nerd and film fanatic that will talk with you about movies and games all day. You can follow him on twitter @Donimals_