The UK competition regulator’s investigation into opened an investigation into the $68.7 billion deal– by far the biggest in the video game industry – to determine if it’s fair.
After gathering feedback from third parties interested in the proposed deal, the CMA said Thursday it had a number of outstanding concerns that needed to be addressed.
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Responding to the CMA’s decision, Microsoft President and Vice President Brad Smith said, “We’re ready to work with the CMA on next steps and address any of their concerns. Phil Spencer has expressed his confidence in the progress made by Microsoft towards its planned acquisition of Activision Blizzard – although he admitted he was in uncharted territory given the size of the deal.
The contemplated acquisition is be reviewed by multiple regulators amid concerns about potential antitrust issues at a time of increasing consolidation in the gaming industry.
spencer said Bloomberg: ‘I feel good about the progress we’ve made, but I’m getting into the process supporting people who may not be as close to the gaming industry by asking good and tough questions about ‘ what is our intention? What does that mean? If you play it over five years, does that restrict a market? Is that a growing market?”
“I’ve never done a $70 billion deal, so I don’t know what my confidence means,” he added. “I will say the discussions we’ve had seem positive.”
Last week, it was claimed that Saudi Arabia had become the first regulatory authority to approves Microsoft’s proposed acquisition of Activision Blizzard.