Microsoft CEO Think Its Activision Blizzard Deal Will Go Through
Microsoft CEO Satya Nadella believes Microsoft's acquisition of Activision Blizzard will not be blocked by the US Federal Trade Commission, even as the FTC and the US Department of Justice look to ramp up antitrust efforts, especially among technology companies.
Speaking with the Financial Times, Nadella remarked on how even if the deal goes through, Microsoft would still only be the third largest company in the industry behind Sony and Tencent. He cited «fragmentation» of the gaming market as a key factor as to why he thinks the Activision Blizzard acquisition will clear regulatory hurdles.
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«Even post-this acquisition, we will be number three with sort of low teens [market] share, where even the highest player is also [in the] teens [for market] share,» Nadella said. «It shows how fragmented content creation platforms are.»
Nadella goes on to state that another factor that will need to be considered is how Microsoft isn't even the biggest player on its own Windows operating system.
«Also, the analysis will have to extend to say: Why are these content companies trying to become bigger?» Nadella said. «It's because the place where the constraints really are is distribution. The only open distribution platform for any gaming content--guess what?--is Windows…the biggest store on Windows is Steam. It's not ours. People can do any pay instrument, whereas all the other gaming distribution platforms are
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