Today the issue of the purchase of Activision Blizzard by Microsoft remains stronger than ever, because there are entities such as the United Kingdom that do not agree with the transaction. And now, it is confirmed that the European Union has opened a thorough investigation, which would be deeper compared to this possible purchase of companies.
As it is being prepared for the purpose of finding competition errors, so the European agency carried out phase two of said investigation: this was what was commented:
The commission is concerned that the proposed acquisition can reduce competition in personal console and computers distribution markets (‘PC‘), video games and operating systems for PC.
The commission now has 90 business days, until March 23, 2023, to make a final decision on the agreement. It is emphasized that his preliminary research showed that the transaction could significantly reduce competition in several areas.
Here more of your statements:
In particular, the commission is concerned that, when Blizzard Activision acquires, Microsoft can prevent access to console video games and Blizzard Activision PC, especially high profile and great success games (the so-called ‘AAA’ games) as Call of Duty.
Preliminary research suggests that Microsoft can have the capacity, as well as a potential economic incentive, to participate in mortgage execution strategies in front of Microsoft’s rival console video games, such as preventing these companies from distributing the video games of Activision console Blizzard. In consoles or degrading the terms and conditions for use or access to these video games.
When it comes to multiple games subscription services and/or cloud games transmission services in particular, the commission is concerned that, acquiring Activision Blizzard, Microsoft can prevent access, to the detriment of its rival distributors of Consoles and video games for PC to offer these services, to its own PC and video game console, which are key to the provision of the nascent multi-time subscription services and cloud games streaming.
Finally, at this stage of the investigation, the commission is concerned that the proposed acquisition can reduce competition in the PC operating market. In particular, the commission is concerned that Microsoft can reduce the capacity of rival operating systems suppliers to compete with the Microsoft Windows operating system, by combining Blizzard Activision Games and the distribution of Microsoft games through The transmission of cloud games to Windows. This would discourage users to buy PC other than Windows.
For now, there are several regulatory agencies that have already accepted the treatment between companies, however, if the European Union does not agree, it could be a brake so that the agreement will be more to specify. We will have to wait for this time while carrying out the investigation and arrive at the opinion.
Editor’s note: This agreement seems to be more complicated compared to other cases, although hopefully a conclusion is soon reached. After all, they are going to be achieved, they just want to delay it despite knowing that it will close yes or yes.