Activision CEO expects ‘accelerated’ UK appeals process after ‘irrational’ Microsoft deal block
Activision Blizzard has said it’s expecting an “accelerated” appeals process after the company’s merger with Microsoft was blocked by the UK competition regulator.
On Wednesday, the Competition and Markets Authority (CMA) said it was preventing the $69 billion deal due to concerns about its impact on the future of the cloud gaming market.
Microsoft and Activision quickly confirmed their intention to appeal the CMA’s decision, which Kotick slammed as “irrational” and not based in fact during an interview with CNBC.
“When you look at the facts and you look at what the opportunities are for the UK, this was a transaction that was only going to enhance opportunities for competition, for our players, for employees, and it was just a flawed ruling in every respect,” he claimed. “And what it demonstrated to us is that these regulators, they don’t really understand our business.”
He added: “It was so flawed in every way that it is actually going to create a lessening of competition, which is the opposite of what their mission is, and so we think the appeals tribunal will see that and rule in our favour.”
The case is set to be reviewed by the UK’s Competition Appeal Tribunal. According to its website, it aims to complete “straightforward” cases in less than nine months, but Kotick said Activision and Microsoft are anticipating the case to be fast-tracked.
“I think we and Microsoft and our barristers, who are exceptionally experienced at judicial review, think that there’s a way to accelerate the process, and that the conclusions were so flawed, that we should be able to get an accelerated result.”
Whether or not the case can be wrapped up before the current merger agreement expires on July 18 — after which Activision Blizzard could walk
Read more on videogameschronicle.com
