Microsoft’s acquisition of Activision Blizzard for US$70 billion looks to be in jeopardy after it has been blocked by the download lagu mp3 UK’s Competition and Markets Authority (CMA).
The CMA, after analysing “3 million Microsoft and Activision documents and more than 2,100 emails from the public,” said that the deal could not go ahead.
It also said that the deal could “alter the future of the fast-growing cloud gaming market,” and could result in less innovation and choice for UK gamers in the future.
According to estimates by the CMA, Microsoft is said to control around 60% to 70% of global cloud gaming services and adding control of the Call of Duty, Overwatch, and World of Warcraft franchises could give them an unassailable advantage in the market.
Microsoft, to its credit, tried to address these concerns by striking deals with Boosteroid, Ubitus, and NVIDIA to allow Xbox PC games to run on their services.
It also made a deal with Nintendo to ensure Call of Duty games would be available on Nintendo consoles for the next 10 years if the acquisition closes.
However, the CMA was not satisfied and said that the deals contain “a number of significant shortcomings” and that they are “too limited in scope.”
Microsoft has commented that they remain “fully committed” to the acquisition and will appeal against the decision. Activision Blizzard has also stated that it plans to do the same.
