UK regulator suggests removing Call of Duty from Microsoft’s Activision Blizzard acquisition
The UK’s Competition and Markets Authority (CMA) has published its provisional conclusion on Microsoft‘s proposed acquisition of Activision Blizzard, and has proposed that Call of Duty be removed from the deal.
As part of its provisional conclusion in which it said that the acquisition “could result in higher prices, fewer choices, or less innovation for UK gamers”, the CMA has suggested that a “partial divestiture of Activision Blizzard” could be a potential solution.
This could mean either:
The CMA’s other given possible ‘solution’ would be prohibition of the merger altogether.
In a statement to VGC, Microsoft corporate vice president and deputy general counsel Rima Alaily said: “We are committed to offering effective and easily enforceable solutions that address the CMA’s concerns.
“Our commitment to grant long term 100% equal access to Call of Duty to Sony, Nintendo, Steam and others preserves the deal’s benefits to gamers and developers and increases competition in the market.
“75% of respondents to the CMA‘s public consultation agree that this deal is good for competition in UK gaming.”
Reiteraing the “100% equal access claim”, Alaily added: “What does 100% mean? When we say equal, we mean equal. 10 years of parity. On content. On pricing. On features. On quality. On playability.”
The CMA’s statement claims that the proposed merger would have a negative impact on both the supply of cloud gaming services, and the supply of consoles.
It claims that by buying Activision Blizzard, Microsoft would “would substantially reduce the competition that [it] would otherwise face in the cloud gaming market in the UK”.
It explains: “This could alter the future of gaming, potentially harming UK gamers, particularly those who cannot afford
Read more on videogameschronicle.com
