On Tuesday, it seemed like Microsoft’s deliberate acquisition of Activision Blizzard would quickly be over, and the deal can be going by, after Microsoft received its court docket battle in opposition to the FTC to cease the injunction put forth by the US regulatory physique, and the UK’s CMA agreed to pause the enchantment litigation whereas Microsoft labored to alter and amend the deal to handle the CMA’s issues.
Barely a day later nevertheless and issues don’t look the identical, because the FTC is doubtlessly leaning in direction of interesting the injunction choice earlier than the Friday deadline, and the UK’s CMA clarifies that whereas the block choice nonetheless stands, any modifications made to the deal might require a complete new investigation to be opened up.
Which might imply that we might spend just a few months extra, even perhaps the stability of 2023, ready to see if the largest deal within the historical past of the video games business will truly undergo or not.
“While merging events don’t have the chance to place ahead new cures as soon as a closing report has been issued,” stated the CMA in a brand new assertion.
“They will select to restructure a deal, which might result in a brand new merger investigation. Microsoft and Activision have indicated that they’re contemplating how the transaction could be modified, and the CMA is ready to interact with them on this foundation.
These discussions stay at an early stage and the character and timing of subsequent steps can be decided sooner or later.
Whereas each events have requested a pause in Microsoft’s enchantment to permit these discussions to happen, the CMA choice set out in its closing report nonetheless stands.”
So whereas it could have at first seemed just like the CMA was starting to bend to the overwhelming pressure of Microsoft, this new assertion modifications that tone fairly a bit. Issues might drag on for longer that Microsoft and Activision would love.
Particularly if the FTC does really feel match to proceed preventing the deal, and doesn’t abandon the trigger because it has completed previously the place it did not win in court docket concerning giant mergers.
With the UK and the US each probably preserving the struggle in opposition to this deal alive, it would even be the case that Microsoft abandons the merger, because it’s been beforehand prompt.
For now, it looks like the one certain factor is that we’ve not but seen the tip of this deal.
Supply – [GamesIndustry.Biz]