After Microsoft’s big win against the US Federal Trade Commission to finally have their permission to follow through with their purchase of Activision Blizzard, Microsoft is now looking towards the block that is put in place by the UK’s Competition and Markets Authority, (CMA) which is one of their final roadblocks preventing them from moving forward with their acquisition of Activision Blizzard and there has been some big news on this front.
Related: FTC To Appeal The Court’s Decision regarding Activision Blizzard Merger Before Friday Deadline
What changes have occurred with the CMA block?
After the recent win on behalf of Microsoft against the FTC, Microsoft has decided to look towards the CMA’s block and figure out a workaround to help alleviate their concerns with Cloud Gaming Services and come to a common agreement that ensures that the CMA believes that Microsoft will not gain dominance in the Cloud Gaming Services, whilst ensuring that Microsoft doesn’t have to lose out on a major deal that could create a lot of opportunities for the company in the future.
At this current time, Microsoft and the CMA have come to a mutual agreement to put a pause on the appeal for now so that they can discuss proposals that work for both parties and will work out for the public in a wider sense; for now, this appeal has been submitted to the Competition Appeal Tribunal for review, and this will determine whether or not the appeal will be accepted or not, but it is highly likely to go through to give both parties some time to negotiate on the circumstance of Cloud Gaming Services.
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What issues can come about from this delay?
So far, there are a few issues that may affect the future of this battle between Microsoft and the CMA, as this delay has created a few situations for Microsoft in its deal with Activision Blizzard. Even after their win against the FTC, Microsoft is currently having to battle the decision of whether or not to carry on with the acquisition of Activision Blizzard without the permission of the CMA, which can lead to a rather messy circumstance as Activision would effectively be removed from the UK and would leave a lot of UK gamers without access to games from Activision.
Luckily Microsoft and. the CMA are now looking to work towards a mutual agreement thanks to this delay, but this isn’t the first time the CMA has put forward an appeal as they also put forward an appeal whilst Microsoft were still battling with the FTC, but this appeal was declined by the CAT as they felt it was “contrary to justice and fairness.” as it would delay the appeal process from July to October.
At the moment, there isn’t much more information in regards to the CMA battle against Microsoft, but both parties are hoping to have this issue resolved very soon, with both parties being happy with the results as no one wants a messy merger. What do you think about this information? Let us know in the comments!
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