EU Regulator Explains Where They Disagreed With UK’s Microsoft ABK Block

gameranx.com:

Microsoft is still on the hunt to acquire Activision Blizzard. The company offered a bid of nearly $69 billion, leaving quite a few regulators to go through this deal closely. However, while some regulators have given the green light, a major regulator recently shot down the idea. UK’s CMA took a firm stance against the deal while the European Commission recently approved it. Now the head of the European Commission, Margrethe Vestager, has spoken out about why they opted to approve this deal.

You can view the entire speech given right here. Essentially, Vestager offered insight into their views on approving and blocking deals. Ultimately, it’s very much a case-specific assessment to see how mergers will play a role in any given industry. Within the speech, the regulator noted that their decision might not always align with every other jurisdiction, which is why they took a few moments to explain further why they believe the Microsoft and Activision Blizzard merger is compatible with the Single Market but also acts as a positive development. 

Thanks to the remedies Microsoft offered, this deal was passed through, but there were areas that Vestager noted that there were areas they agreed with the CMA. For instance, it was noted that Microsoft wouldn’t make Call of Duty an exclusive title for Microsoft console platforms. This would hurt the company tremendously when it comes to profits that Microsoft could make. Meanwhile, it was also noted that Sony sells about four times more PlayStation consoles than Microsoft sells Xbox consoles. So this deal wasn’t seen as a vertical issue. 

However, where the EU regulators and UK regulators differ is cloud gaming. The UK saw that this deal would eventually hurt cloud gaming as