Microsoft has filed its appeal to the UK’s CMA over the Activision Blizzard acquisition

What you need to know

  • Microsoft’s acquisition of Activision Blizzard King will cost the company $68.7 billion, a record-breaking deal for the gaming industry.
  • The deal has been approved by a majority of regulators including Brazil, China, and the European Union.
  • The UK CMA ruled against the acquisition on the grounds of protecting the nascent cloud gaming market.
  • Microsoft has appealed the ruling and continued to broaden their deals with cloud gaming providers in an attempt to assuage the regulating body.

Microsoft has confirmed that an appeal has been filed with the UK’s CAT, or Competition Appeal Tribunal, in an attempt to overturn the CMA’s ruling against the Activision Blizzard King acquisition, according to a tweet from Bloomberg reporter Katharine Gemmel. 

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Microsoft’s acquisition of Activision Blizzard King had come under heavy scrutiny from the UK’s regulatory body, who first expressed concerns over the Call of Duty franchise before pivoting their arguments against the merger to Xbox’s dominance in the cloud gaming market.  Microsoft had attempted to assuage these concerns over cloud gaming by striking deals with a multitude of other cloud gaming platforms to bring Xbox titles to their services, including Activision Blizzard King titles that otherwise would not reach cloud markets. The CMA was unmoved by these efforts, however, and ultimately struck down the acquisition in its ruling.

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