EU clears Microsoft’s acquisition of Activision Blizzard

EU clears Microsoft’s acquisition of Activision Blizzard

Brussels, 25.5.2023

European Union regulators on Monday approved Microsoft’s $69 billion acquisition of gaming giant Activision Blizzard.

The green light comes after the UK antitrust authorities blocked the deal last month on the grounds that it could hurt competition in the cloud gaming market.

In the EU, Microsoft’s licensing deals with cloud streaming competitors were enough to allay regulators’ concerns about reduced competition.

The agreements between Microsoft and competitors like Nintendo and Nvidia will allow users to stream Activision Blizzard games, including Call of Duty and World of Warcraft, on other platforms for ten years.

The EU Commission considers the license agreements to be “practical and effective” and “pro-competitive”, according to EU cartel boss Margrethe Vestager.

EU approval could boost Microsoft’s chances as the deal still faces antitrust challenges in the US and UK.

In the US, the Federal Trade Commission sued to block the acquisition in late 2022. An evidence hearing on the case is scheduled for August 2.

Microsoft’s appeal against the UK regulator’s decision is ongoing.

Hits: 2