CMA To Review Restructured Deal By Microsoft To Buy Activision

(RTTNews) - The Competition and Markets Authority in the UK has opened a new phase 1 investigation into a new, restructured deal by Microsoft to buy Activision. Earlier, the CMA confirmed that Microsoft's acquisition of Activision, as originally proposed, cannot proceed.

Under the restructured deal, Microsoft will not acquire cloud rights for existing Activision PC and console games, or for new games released by Activision during the next 15 years, excluding in the EEA. These rights will be divested to Ubisoft Entertainment prior to Microsoft's acquisition of Activision.

Microsoft said the restructured deal is intended to address the concerns set out in the CMA's Final Report in April. The deal will provide an independent third-party content supplier, Ubisoft, with the ability to supply Activision's gaming content to all cloud gaming service providers. The deal also proposes that Ubisoft would have the ability to require Microsoft to provide versions of games on operating systems other than Windows.

The CMA noted its new investigation will be carried out in line with the usual Phase 1 processes and the statutory deadline for a decision is 18 October 2023.