In response to worries that the $68.7 billion acquisition of the major video game company Activision Blizzard by Microsoft may result in lessening competition, UK authorities have opened a more thorough antitrust probe.
The acquisition, which would make Microsoft (MSFT) the third-largest video game publisher in the world, was found to pose a risk to markets like console and cloud gaming, according to the UK’s Competition and Markets Authority (CMA), which stated this on September 1. This prompted the second stage of the investigation.
Microsoft might acquire control of well-known video game properties including “Call of Duty,” “World of Warcraft,” and “Candy Crush” as part of the proposed transaction.
Regulators in the UK have expressed concern that the acquisition might give Microsoft the ability to censor that lucrative material from competing gaming systems, especially Sony’s PlayStation.
In a statement given to CNN, the business declared: “We’re ready to cooperate with the CMA on next measures and address any concerns it may have.” Instead of limiting access to gaming, we want more people to have it.
The corporation began a charm offensive with regulators around the world in February and made a number of concessions, including a promise not to treat content it owns on platforms it operates differently.
The CMA gave Microsoft a few days earlier this month to reply to its initial conclusion with suggested changes. According to the CMA on Thursday, Microsoft rejected to make such an offer on September 6, which opened the door for a phase-two probe.
According to the agency’s procedures, the outcome of the additional investigation may be a decision to approve the transaction, to place conditions or divestments on the acquisition, or to completely halt it.