UK regulator provisionally approves Microsoft's Activision-Blizzard buyout, following Ubisoft deal
The UK's Competition and Markets Authority have "provisionally" approved Microsoft's proposed acquisition of Activision Blizzard, removing the last major legal obstacle to the completion of the deal.
The CMA blocked the deal in April this year over concerns that it would "alter the future of the fast-growing cloud gaming market", and might lead "to reduced innovation and less choice for UK gamers over the years to come". Microsoft attempted to woo the regulator by agreeing to sell Activision Blizzard game cloud streaming rights to Ubisoft, and while the CMA have "limited residual concerns", they've largely accepted Microsoft's modifications.
According to a UK government statement, the "sale of the cloud gaming rights will establish Ubisoft as a key supplier of content to cloud gaming services, replicating the role that Activision would have played in the market as an independent player".
This means that "Microsoft will no longer control cloud gaming rights for Activision's content, so would not be in a position to limit access to Activision's key content to its own cloud gaming service or to withhold those games from rivals."
"Unlike the remedies the CMA previously rejected, Ubisoft will be free to offer Activision's games both directly to consumers and to all cloud gaming service providers however it chooses, including for buy-to-play or multigame subscription services, or any new model for providing content that might emerge as the market develops," the statement goes on.
"The deal with Ubisoft also requires Microsoft to port Activision games to operating systems other than Windows and support game emulators when requested, addressing the other main shortcoming with the previous remedies package."
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