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UK CMA say Microsoft's proposed cloud remedies address previous concerns

Published: 06:44, 22 September 2023

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CMA UK seem to be ready to approve Microsoft's acquisition of Activision Blizzard

In the latest press release, United Kingdom's Competition and Market Authority (CMA) have stated that Microsoft's proposed cloud remedies address concerns in cloud gaming.

CMA have officially confirmed that Microsoft's plan to sell the cloud rights of Activision games to Ubisoft in the UK will address their concerns in cloud gaming.

The UK regulator shared a press release today, in which they specifically stated that the sale of Activision's cloud gaming rights to Ubisoft "substantially addresses previous concerns and opens the door to the deal being cleared."

This means that we could have the final decision very soon and Microsoft are finally set to close the merger, after being initially blocked by UK CMA.

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Here are some of the key bits from CMA's latest press release:

"The prior sale of the cloud gaming rights will establish Ubisoft as a key supplier of content to cloud gaming services, replicating the role that Activision would have played in the market as an independent player.

In contrast to the original deal, Microsoft will no longer control cloud gaming rights for Activision’s content, so would not be in a position to limit access to Activision’s key content to its own cloud gaming service or to withhold those games from rivals."

Activision

Up until 2020, Call of Duty franchise earned an incredible $27 billion

Call of Duty could become a Microsoft IP very soon, as CMA UK are set to approve the Activision Blizzard merger

CMA added that the restructured deal still has some limited residual concerns but Microsoft have already offered remedies to ensure that the terms of the sale of Activision's rights to Ubisoft are enforceable by the CMA. "The CMA has provisionally concluded that this additional protection should resolve those residual concerns."

The final decision, which is expected to be positive for Microsoft and their acquisition of Activision Blizzard, is coming in October.

Once CMA approve the deal, Microsoft will close the merger and finally own franchises like Call of Duty, Crash, Spyro, Overwatch, Diablo and much more. The majority of Activision Blizzard games are also expected to be released on Game Pass soon after the deal is done.