The purchase Microsoft planned to make is in jeopardy after the CMA blocked the deal it wanted to reach with Activision. Both companies will have a second chance and will appeal the decision, but it will be the last, because if they fail to convince the regulator they will have to wait a long time to try to merge again.
After the verdict of the UK Competition and Authorities Commission (CMA) was made public, both Activision and Microsoft revealed what would happen to them if their deal failed to materialize.
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Will Microsoft be able to try to buy Activision again before the CMA?
Unfortunately for Microsoft, his attempts to satisfy the CMA and buy Activision are not endless like a young man with pockets full of coins in an arcade blocking him from seeing the Game Over screen, but rather a user that you miss entering your password correctly on a couple of occasions and have to wait hours to try again. Only in the case of Microsoft with Activision it will be multiple years.
We know this thanks to the document of more than 400 pages that the regulatory body published and that contains all the information regarding its verdict.
In case you missed it: the CMA warns that Xbox Game Pass would become more expensive if Microsoft buys Activision.
In one of the final pages, related to the effectiveness of the ban, it is revealed that the body will not admit any attempt by Microsoft to buy Activision in case the company fails in its current attempt, so its appeal should be his last chance to convince the CMA.
“The prohibition would be effected by accepting undertakings under section 82 of the Act or by issuing an order under section 84 of the Act, prohibiting the Merger and preventing the Parties from attempting to merge for a further period: our normal practice would be avoid a future merger between the Parties for the next 10 years, in the absence of a change of circumstances,” the document reads.
A decade is a long time, as long as Microsoft releases a bunch of exclusive games without announcing, buys a dozen studios… or even creates its own call of duty.
Do you think Microsoft will manage to reach an agreement to buy Activision Blizzard King or will it have to wait 10 years to try again against the CMA? Tell us in the comments.
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