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The Microsoft deal to acquire Activision Blizzard may soon be approved by the CMA, BBC reports. As of September 22, the CMA has now initially approved the deal for Microsoft to buy Activision Blizzard. Citing that Microsoft’s restructured plan for the acquisition appears to address its concerns about the buyout.
At first, the CMA was against Microsoft’s deal due to concerns it had over cloud gaming. But Microsoft has made changes and agreed to sell the cloud gaming rights for Activision titles to Ubisoft. Who can then license them back to Microsoft for the Xbox platform in addition to putting them on other platforms like PlayStation and PC. Ubisoft will also own the rights for 15 years.
This and other adjustments have put Microsoft’s proposal in a good spot. And from here it seems like things might be finalized fairly soon. Having said that it’s important to note that this is not a done deal yet.
The CMA has approved Microsoft’s Activision Blizzard deal on a preliminary basis
Make no mistake. This is good news for Microsoft and everyone that wants this deal to go through. But it’s important to keep in mind that this is just a preliminary approval. Still, it’s a good sign that the CMA won’t have any more hangups about the buyout.
Microsoft will need to finalize the deal by October 18. And with the CMA’s preliminary decision that is looking likely. Leading up to a final decision the CMA will attempt to gather feedback from the public and others in the gaming industry. The CMA hasn’t said when it plans to issue a final decision by though. Even if does have one by the deadline and it is a final approval, that’s still weeks away.
Despite the initial block and now this preliminary approval, CMA Chief Executive Sarah Cardell says the CMA has been “consistent in its position” about the deal. Noting that it could only move forward if cloud gaming rights were preserved. Cardell also says that “It would have been far better… if Microsoft had put forward this restructure during our original investigation.”