s you may know, in recent weeks we shared news about Microsoft and Activision regarding an acquisition. However, during this waiting period for the acquisition news, different information started to emerge regarding the matter. It has been reported that the United States is preventing Microsoft from acquiring Activision, the producer of Call of Duty. Here are the details…
The U.S. does not want Activision to be sold to Microsoft!
There are committees in the United States that examine such acquisitions. These committees are generally referred to as acquisition regulators. The regulatory board responsible for the sale of Activision has reportedly requested a judge to prevent this acquisition. They have communicated their request to the judge regarding this matter.
The Federal Trade Commission of the United States stated that the deal, which will be the largest in the history of the gaming industry, could “significantly reduce competition” in the sector. The mentioned deal is valued at 69 billion dollars.
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To date, there hasn’t been any deal in the gaming industry that comes close to this value. Considering that the budget for GTA VI is around 1 billion dollars, with this money, you could design and release 69 new games of the same quality as GTA VI in the market.
In the statement, the Federal Trade Commission expressed that while determining whether it violated the U.S. anti-terrorism law, the regulatory body deemed it necessary to take precautionary measures to prevent potential harm. Microsoft’s acquisition proposal for Activision has divided global regulators, and for the deal to be valid, the parties need approval from regulatory bodies in the United Kingdom, the EU, and the United States.
The European Commission has approved the acquisition, stating that Microsoft’s 10-year free license agreements for PC and console games from Activision, providing access to European consumers and cloud gaming streaming services, would lead to fair competition in the market. However, the Competition and Markets Authority (CMA) in the United Kingdom raised concerns in April, blocking the deal due to fears that the acquisition would result in fewer innovations and limited options for players.
Microsoft and Activision have announced that they will appeal against this decision. Microsoft President Brad Smith stated that this event is the “darkest day” the company has faced in the country where it has been operating for forty years.
Well, what do you think about this subject? Do you think the US government or Microsoft is right? Don’t forget to express your opinions in the comments section…
