BRUSSELS (Reuters) – EU antitrust regulators are seeking feedback from Microsoft’s competitors and customers regarding the company’s proposed remedies in an attempt to gain approval from the UK competition authority for its $69 billion acquisition of Activision Blizzard, according to sources.
Following the rejection of the largest gaming deal in history by the Competition and Markets Authority (CMA), Microsoft has offered to sell its cloud streaming rights to Ubisoft Entertainment.
In May, the European Commission approved the deal after Microsoft agreed to grant licenses for popular Activision games, such as “Call of Duty,” to competing game streaming platforms. However, the Ubisoft agreement was not included in the EU’s offer.
The CMA’s concerns were related to competition in the gaming industry, specifically the potential negative impact on game publishers and consumers. To address these concerns, Microsoft proposed the sale of its cloud streaming rights to Ubisoft Entertainment, a major game publisher.
The European Commission’s clearance of the deal was conditional upon Microsoft making these licensing commitments. Now, the antitrust regulators are reaching out to the company’s rivals and customers to determine the effectiveness of these remedies.
Microsoft’s proposed acquisition of Activision Blizzard, a major gaming company behind popular franchises such as “Call of Duty” and “World of Warcraft,” has faced regulatory scrutiny in multiple jurisdictions. The company’s goal is to expand its presence in the gaming industry and strengthen its position in the market.
It remains to be seen whether the UK competition agency will approve the acquisition, as the CMA’s findings may influence the decision. Microsoft’s offer to sell its cloud streaming rights to Ubisoft Entertainment could potentially address some of the competition concerns raised by regulators.
The outcome of this process will impact the future landscape of the gaming industry, as Microsoft’s acquisition of Activision Blizzard would consolidate its position and potentially limit competition in the market.
Reporting by Foo Yun Chee; editing by Jason Neely
Credit: The Star : Tech Feed
