CMA unswayed by Microsoft's arguments for Activision Blizzard acquisition

1 year 7 months ago

The UK's Competition and Markets Authority today released an issues statement laying out a number of concerns with the proposed Microsoft acquisition of Activision Blizzard and dismissing several of the Xbox maker's key arguments.

The first question it tackled was whether or not the acquisition would result in Xbox making Call of Duty exclusive ("foreclosing," by CMA terminology), something Microsoft has said it has no intention of doing, but is only committing to keep on PlayStation for several years.

"Financial modelling of the merger suggests that the merged entity's incentive to foreclose Sony may be considerably stronger than suggested by the parties," the CMA determined.

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Author
Brendan Sinclair