Microsoft President Brad Smith said that he is searching for solutions to gain approval from British authorities for the tech giant’s $69 billion acquisition of video game company Activision Blizzard. In April, British competition authorities blocked the deal, which was the largest-ever in gaming, in a surprise decision. Since then, Microsoft has appealed the decision. Smith expressed hope that the outcome could change, stating that if regulators have concerns, Microsoft wants to address them. He also stated that if the UK imposes regulatory requirements that exceed those in the EU, Microsoft would like to find ways to fulfill them.
The EU’s competition authorities approved the deal in May after accepting remedies that Microsoft proposed, which were similar to those proposed in the UK. Microsoft also appealed the US Federal Trade Commission’s action to block the deal on the grounds that it would suppress competition.
Appeal Against the Blockage and Challenges
Last month, Microsoft challenged Britain’s decision to block the takeover on the grounds of “fundamental errors” in the evaluation of Microsoft’s cloud gaming services. The company stated that the CMA’s conclusion that the deal would result in a significant reduction in competition in the UK’s cloud gaming market was incorrect, according to the summary. Microsoft has filed an appeal against the ruling to the Competition Appeal Tribunal (CAT).
In addition to the appeal, Microsoft avoided a potential early legal obstacle in the takeover when a US judge refused to allow gamers in a private suit to block the acquisition preliminarily.
Microsoft’s Persistence in the Deal
Smith had previously warned that the blockage of the deal would shake confidence in the UK as a destination for tech businesses. However, the company’s persistence in the deal and search for solutions demonstrate Microsoft’s determination to acquire Activision Blizzard. Microsoft is hoping to find ways to address regulators’ concerns and fulfill any additional regulatory requirements in the UK to gain approval for the acquisition. Microsoft’s appeal against the blockage in the UK and the US Federal Trade Commission’s action demonstrates the company’s commitment to acquiring Activision Blizzard.
Microsoft’s president, Brad Smith, is seeking solutions to gain approval for the company’s acquisition of Activision Blizzard in the UK. British authorities blocked the deal in April, but Microsoft has appealed the decision and hopes to find ways to address regulators’ concerns and fulfill any additional regulatory requirements in the UK. Microsoft’s persistence in pursuing the deal is evident through its appeal against the blockage in the UK and the US Federal Trade Commission’s action.
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