Microsoft Acquisition of Activision Blizzard Approved by EU
EU regulators have approved Microsoft’s attempted acquisition of Activision Blizzard.
By 
Daniel
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Key Facts
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EU APPROVES MICROSOFT’S TAKEOVER OF ACTIVISION BLIZZARD
The European Commission has approved Microsoft’s acquisition of Activision Blizzard, citing the “significant improvement for cloud gaming” as a primary reason for the approval.
Concerns have been raised since the announcement from Microsoft that they intend to acquire Activision Blizzard for a record $69 billion, with the main concern surrounding the idea that Microsoft could remove Activision games like Call of Duty from the PlayStation store, making them an Xbox exclusive.
The Commission’s in-depth market investigation uncovered and focused on the following points:
- Microsoft would have no incentive to refuse to distribute Activision’s games to Sony, which is the leading distributor of console games worldwide.
- Even if Microsoft did decide to withdraw Activision’s games from the PlayStation, this would not significantly harm competition in the consoles market.
- Even without this transaction, Activision would not have made its games available for multi-game subscription services, as this would cannibalize sales of individual games.
- The acquisition would harm competition in the distribution of PC and console games via cloud game streaming services, an innovative market segment that could transform the way many gamers play video games.
- If Microsoft made Activision’s games exclusive to its own cloud game streaming service, Microsoft could also strengthen the position of Windows in the market for PC operating systems.
Despite the concerns, the Commission was satisfied that Microsoft provided solutions to any Xbox exclusivity by providing a free license allowing gamers to stream any Activision game they own via cloud services for at least ten years.
This would not mean that Microsoft would not remove Activision Blizzard games like CoD from the PlayStation Store, but any CoD or other Activision game you own would still be available for you to play via cloud gaming.
The European Commission’s approval is a step forward for Microsoft. However, they still need to convince the UK’s Competition and Markets Authority through an appeal after the regulator recently blocked the acquisition.
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Fueled by a passion for gaming and the ever-evolving world of gaming news, Daniel loves connecting with seasoned and new players to bring games to life on the page, exploring their narratives and gaming trends. A self-published fiction and fantasy author, Daniel has nearly 20 years of experience writing gaming news and a love for storytelling that drives his enthusiasm to deliver breaking news, in-depth analysis, and industry innovations. You will find him in-game as "Windfell."
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