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UK Determines Xbox's $69 Billion Activision Buyout Could Harm Gamers

 


UK Determines Xbox's $69 Billion Activision Buyout Could Harm Gamers
UK Determines Xbox's $69 Billion Activision Buyout Could Harm Gamers,2023


Microsoft’s eye- saddening $69 billion offer to buy Activision Blizzard has been the source of violent scrutiny from global governments for nearly a time now, but the UK’s controller has released a provisional report today which says it “could harm gamers” and potentially affect in “ advanced prices, smaller choices, or lower innovation ”. While it’s not a knockout blow for the buyout by any means, it ’ll really prove caliginous news for the trillion dollar Redmond firm.

“The provisional findings from the Competition and Markets Authority (CMA) follow a wide- ranging disquisition conducted over the last five months to understand the request and implicit impact of the deal,” a press release states. “This has included holding point visits and sounds to hear directly from business leaders at Microsoft and Activision, analysing over three million internal documents from the two businesses to understand their views on the market, commissioning an independent check of UK gamers, and gathering evidence from a range of other gaming consoles providers, game publishers, and cloud gaming service providers.”

According to the CMA’s findings, the junction “could make Microsoft indeed stronger in cloud gaming, stifling competition in this growing market and harming UK gamers who cannot go precious consoles”. It adds that agreeing to the acquisition could also “harm UK gamers by weakening the important contest between Xbox and PlayStation gaming consoles”.

It explained “Xbox and PlayStation contend nearly with each other at present and access to the most important content, like Call of Duty, is an important part of that competition. Reducing this competition between Microsoft and Sony could affect in all gamers seeing advanced prices, reduced range, lower quality, and worse service in gaming consoles over time.”

Microsoft, for its part, has responded swiftly – reiterating its commitment to releasing Call of Duty on PlayStation platforms for at least ten times. “Our commitment to grant long term 100 per cent equal access to Call of Duty to Sony, Nintendo, Steam and others preserves the deal's benefits to gamers and inventors and increases competition in the market. What does 100 percent mean? When we say equal, we mean equal. 10 years of equality. On content. On pricing. On features. On quality. On playability.”

Sony has been dead against the deal, appealing to controllers that Call of Duty has no equal, and claiming that its potential removal from PlayStation platforms would largely impact its capability to contend. One proposed remedy for Microsoft may be to break up the deal, allowing it to buy the remainder of Activision Blizzard while Call of Duty remains independent. Either way, with other government bodies like the United States’ Federal Trade Commission and European Union’s European Commission also probing this deal, there’s a lot of avail left in this story yet.

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