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UK Competitions & Markets Authority rumoured to block Activision Blizzard acquisition

According to sources, Microsoft are actively anticipating a possible block on the Activision-Blizzard acquisition by the UK CMA
UK Competitions & Markets Authority rumoured to block Activision Blizzard acquisition

As Microsoft continues to battle to acquire the three-part conglomerate a whole new wrinkle has appeared as another anti-trust agency seems set to opposite it.

That’s according to reporting from The New York Times and covered by VGC as Microsoft’s legal team is apparently anticipating the CMA to block the Activision Blizzard deal. This would place an additional stumbling block in the path of what is already one of the most protracted legal battles to surround a video game industry acquisition so far.

VGC observes that this move would potentially be a result of other agencies leaning on the remaining undecided groups. As they note, Microsoft are hoping that their concessions will be accepted by the CMA but that the FTC, who have already stated their intention to oppose the deal and are suing the block it, could instead urge the UK regulators to oppose the acquisition regardless.

We’re doing this again?

Perhaps, in a way, the ongoing AquiBlizz saga represents a belated recognition as to just how important and lucrative the video game industry now is. In a sense the regulatory oversight – which some may see as misplaced against Microsoft – is an overcorrection for years ignorance and leniency towards repeated acquisitions of smaller companies by larger conglomerates such as EA.

Still, if these rumours are to be believed – and they did come true previously when the FTC lawsuit was previously whispered about – it would throw yet another stumbling block in Microsoft’s way.

However, as we’ve noted before, the console and PC side of the Activision Blizzard conglomerate may not be what is the main focus for Microsoft. As with the incoming release of Call of Duty Warzone Mobile, Activision Blizzard continues to expand into the world of mobile. A sector that Microsoft have admitted they are woefully inadequate in when it comes to games.

Therefore, exactly how much of the deal Microsoft may drop in order to secure lucrative properties including Candy Crush creators King, is yet to be seen.