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‘Biggest ever’ gaming deal between Microsoft and Activision Blizzard gets green light

The UK competition watchdog – the Competition and Markets Authority – has given the go-ahead for Microsoft’s bid for Activision Blizzard, removing the last hurdle to the biggest ever gaming deal in history.

Microsoft first announced the £56 billion acquisition of Activision Blizzard – the company behind the Call of Duty, World of Warcraft, Candy Crush and Overwatch franchises among others – in early 2022.

However, despite regulators in Europe and the US giving the green light, it was blocked by the CMA in the April over concerns that Microsoft would gain too much control of the new cloud gaming market. Cloud-based games – such as Candy Crush, Overwatch and WOW – are streamed from servers, rather than accessed from a disc or cartridge for a games console or computer.

The worry, reported Sky News, was that Microsoft would lock up competition in cloud gaming as the market takes off, limiting competition and bringing up prices for UK cloud gaming customers.

However, changes have since been made to the deal, which see French games publisher Ubisoft – the home of the Assassin’s Creed franchise – acquiring Activision’s cloud gaming rights rather than Microsoft.

The CMA said the new deal “will also help to ensure that cloud gaming providers will be able to use non-Windows operating systems for Activision content, reducing costs and increasing efficiency”.

In an email to employees, Activision Blizzard ceo, Bobby Kotick said: “We now have all regulatory approvals necessary to close and we look forward to bringing joy and connection to even more players around the world.

“Our board chair Brian Kelly and I are incredibly proud of all of you and your accomplishments over the last four decades. We’re excited for our next chapter together with Microsoft and the endless possibilities it creates for you and for our players.”

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