The UK’s Competition and Markets Authority has concluded its initial investigation of Microsoft’s acquisition of Activision Blizzard, making the decision that the deal requires a more in-depth “phase 2” investigation.
In its report, the CMA has determined that the deal will be “giving rise to a realistic prospect of a substantial lessening of competition in gaming consoles, multi-game subscription services, and cloud gaming services.”
Crucially, the CMA decided the deal would have a large impact on the success of rival platforms: “Evidence consistently pointed towards ABK’s content, especially Call of Duty, as being important and capable of making a material difference to the success of rivals’ gaming platforms.”
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