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UK Regulator Outlines Restrictions Against Microsoft And Activision Blizzard

Last month the UK Competition and Markets Authority (CMA) blocked the Microsoft acquisition of Activision Blizzard and now the regulator has published new restrictions on the two companies “acquiring an interest” in each other.

New Restrictions on Microsoft, Activision Blizzard Deal

The regulator published an interim order (via gamesindustry.biz) which has detailed that both Microsoft and Activision will need prior written consent from the CMA if either of the companies:

  • acquire an Interest in Activision/Microsoft or any of its Subsidiaries.
  • (acquire an Interest in an Enterprise holding an Interest in Activision/Microsoft or carrying on the business of Activision/Microsoft from time to time.
  • hold an option to acquire an Interest referred above.

These restrictions have been put in place to ensure the two don’t take “pre-emptive action” to complete the deal. As of now, both companies are preparing cases to appeal against the CMA’s decision with Microsoft hiring a top lawyer who has previously won against the EU in various cases.

Will The Deal Ever Go Through?

Currently, we are still awaiting the decisions of the EU and US authorities on the deal with the EU due to make its decision by May 22nd and the US holding a court hearing in August. As of now there is no clear answer but it is unlikely the deal will be going through any time soon. The two companies may get lucky if the US and EU approve then all it will take is for the company to win the appeal in the UK which likely will be easier knowing the other two big authorities have approved.

What do you think of the deal? Let us know in the comments.

Jakob Aylesbury

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