Breaking: Microsoft's Mega Deal with Activision Blizzard on the Verge of Closure!
Reports suggesting Microsoft's acquisition of Activision Blizzard will close this week are unfounded The process may extend further, debunking the earlier claims
The anticipated closure of the Microsoft acquisition of Activision Blizzard will not happen this week due to the legal proceedings being paused by the United Kingdom's Competition Appeal Tribunal. Despite Microsoft's efforts behind the scenes to acquire Activision Blizzard before a looming deadline, the unfolding events may not be going as planned. Following a recent victory in a lawsuit by the Federal Trade Commission, Microsoft is taking slow steps forward in acquiring Activision Blizzard. The offer was made in January 2022 for $68.7 billion, making it the largest purchase of its kind if successful. However, despite the FTC ruling, there are still several legal obstacles for Microsoft to navigate, including one in the UK that may impact the expectations of Xbox fans eagerly anticipating the Activision Blizzard content.
A UK judge has put a temporary halt to the ongoing appeal process between Microsoft and the Competition Markets Authority. The pause is anticipated to extend for a period of two months, allowing for further negotiations to transpire during this time. As a result, the trial, originally scheduled to commence on July 28, will be consequently delayed. Legal documents indicate that the CMA is willing to reevaluate its terms pertaining to the Activision Blizzard deal, particularly citing concerns over potential monopolization of cloud gaming in favor of Microsoft.
The CMA's interference with Microsoft's acquisition of Activision Blizzard has led to a legal case and subsequent appeal by Xbox's parent company. With a merger deadline of July 18, Microsoft may need to request an extension in order to navigate the legal obstacles. Although progress is being made with the Microsoft and Activision Blizzard deal, the final resolution of the legal complexities remains uncertain.
Negotiations for Call of Duty between PlayStation and Microsoft, along with the recent FTC lawsuit victory, may result in further compromises. The trial that was scheduled to begin in late July has been postponed by the CAT judge and is likely to be rescheduled for August or later. The CMA's challenge poses a significant hurdle for Microsoft in their efforts to acquire Activision Blizzard, but once the UK trial concludes, progress may accelerate.
Source: IGN
