The European Union has announced its plans to do a full investigation into Microsoft's $68.7 billion bid for Activision Blizzard.
In a statement released today, the European Commission wrote that it's "concerned that the proposed acquisition may reduce competition in the markets for the distribution of console and personal computers (‘PCs') video games and for PC operating systems."
With this investigation, the EU has given the deal its most high-profile scrutiny yet, and puts a wrench into the Xbox maker's plans. Microsoft, in a statement provided to the Washington Post, said it would work with the Commission to "address any valid marketplace concerns.”
The Commission has determined that competition could be reduced should the merger be successful, and specifically believes that Microsoft's buyout could stop third parties from distributing Activision Blizzard titles.
It also stated additional concerns about the PC market, and that Microsoft could put Activision Blizzard titles on the Xbox Game Cloud service. That latter move, said the Commission, could potentially serve as a way to "discourage users to buy non-Windows PCs."
"The Commission is concerned that, by acquiring Activision Blizzard, Microsoft may foreclose access to Activision Blizzard's console and PC video games, especially to high-profile and highly successful games."
In its closing statements, the Commission gave a deadline of March 23, 2023 for its investigation.
"The opening of an in-depth inquiry does not prejudge the outcome of the investigation."
Though Microsoft has been fairly confident that it'll acquire Activision Blizzard, both the EU and UK are making it more difficult for Microsoft to complete the merger by spring 2023.
In September, the UK's
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