Activision will support Microsoft in the face of the British regulator


LONDON, June 9 (Reuters) – ‘Call of Duty’ video game publisher Activision Blizzard has been granted permission to intervene in Microsoft’s legal battle with Britain’s competition authority over its decision to block the takeover of Activision for 69 billion dollars.

Microsoft appealed the Competition and Markets Authority (CMA) veto filed in April, on the grounds that the takeover could harm nascent competition in the cloud gaming market.

The veto jeopardizes the biggest-ever video games deal, prompting a backlash from companies questioning whether Britain remains open to tech companies.

Activision has received leave to intervene for Microsoft, which should be heard next month before the competition appeal tribunal. This means that Activision will also be able to present its case in court.

At a preliminary hearing in May, Microsoft lawyers accused the CMA of being a global “aberration” in blocking the Activision takeover, while regulators, including the competition authority of the European Union, have approved the operation.

The U.S. Federal Trade Commission also blocked the deal, a decision that is subject to another appeal by Microsoft.

Microsoft chairman Brad Smith, who met Britain’s finance minister on Tuesday, said earlier this week that the company wanted to address regulators’ concerns over the Activision acquisition. (Reporting Sam Tobin; French version Nathan Vifflin, editing by Kate Entringer)












©2023 Thomson Reuters, all rights reserved. Reuters content is the intellectual property of Thomson Reuters or its third party content providers. Any copying, republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. Thomson Reuters shall not be liable for any errors or delays in content, or for any actions taken in reliance thereon. “Reuters” and the Reuters Logo are trademarks of Thomson Reuters and its affiliated companies.



Source link -87