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Will Microsoft’s Purchase of Activision Blizzard Go Through? CMA’s Reversal Explained

Posted on April 8, 2023 By MGF No Comments on Will Microsoft’s Purchase of Activision Blizzard Go Through? CMA’s Reversal Explained
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The battle between PlayStation and Microsoft over the proposed purchase of Activision Blizzard has been raging for the past year. PlayStation has been actively campaigning against the purchase, arguing that the Call of Duty franchise will end up exclusively on Xbox and that it will hurt competition. However, the UK’s Competition and Markets Authority (CMA) recently reversed its stance following new numbers provided by Microsoft.

The CMA now believes that Microsoft would stand to lose too much money by pulling the series away from PlayStation, thus negating one of its biggest competition concerns. Microsoft has also extended deals to Sony, Nintendo, and Nvidia guaranteeing the franchise will remain on their platforms for at least 10 years. Sony has thus far refused to sign the deal, but Nvidia and Nintendo have.

The CMA’s changed position makes a lot of sense: there’s far too much money on the table for Microsoft to pull Call of Duty away from PlayStation. Such a move would hurt perception of Call of Duty, and ensure far less people get to play it, thus damaging a brand Microsoft is spending a whole lot of money to acquire.

It seems that Microsoft’s purchase of Activision Blizzard is likely to go through, and the CMA’s reversal makes sense. The extended deals to Sony, Nintendo, and Nvidia make it difficult for PlayStation to argue that consumers will see a negative impact, and Microsoft stands to lose too much money by pulling the franchise away from PlayStation.

The gaming industry is always evolving, and it’s fascinating to witness the battle between PlayStation and Microsoft over the proposed purchase of Activision Blizzard. It will be interesting to see what the CMA’s final ruling is at the end of the month.

Do you think Microsoft’s purchase of Activision Blizzard will go through? Do you think the CMA’s reversal makes sense? Share your thoughts directly on Twitter at @Marcdachamp to talk all things gaming!

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