Technology giant Microsoft has reached a $69 billion deal to buy Activision Bilizzard, one of the world’s largest gaming companies. However, this agreement was not accepted on legal grounds.
Microsoft, which reached an unbelievable $69 billion deal with Activision Blizzard on January 18, 2022, has been in serious pain lately. The company, which is trying to gain a place in the game industry through Xbox consoles and the Game Pass subscription system, is struggling with the decrease in physical sales. On the brink of a serious crisis in 2023.
The company that foresees this crisis; biggest competitor Against Sony’s PlayStation ecosystem He wanted to buy Activison Blizzard to strengthen his hand and on January 18, 2022, this attempt was positive. However, Sony’s lobbying efforts against Microsoft in the US and UK courts yielded results.
The UK has not ratified the $69 billion Microsoft – Activision deal:
These are the brands that Microsoft will likely have to buy.
Not only Microsoft, but also Xbox Game Pass users and Xbox console owners have been looking forward to the outcome of this lawsuit for months. The good news expected for the arrival of the giant productions under the roofs of Activision and Blizzard to both Game Pass and Xbox consoles has now reached a dead end.
The UK’s Competition and Markets Authority (CMA) Although it was received favorably by the UK, courts in England ruled against the agreement. The reason for this decision is the competition on cloud gaming systems, not consoles. It will seriously strengthen Microsoft’s hand it was.
Namely, Call of Duty games are among the most important productions that brought PlayStation to high sales figures. If Microsoft buys Activision Blizzard, the maker of this series, Call of Duty will only be available for sale on Xbox consoles and the Xbox Game Pass cloud gaming system. So in such a case, Microsoft can only use the strong brands in the market to sell their systems, which they already have the purpose of purchasing. Sony’s biggest trump card against Microsoft was to use this possibility of monopoly. The courts seem to agree with Sony, even if the Competition Authority approves the settlement.
Microsoft is about to drop its lawsuit:
According to the news in the New York Post, Microsoft is about to withdraw from the agreement due to legal obstacles. in other words The deal that is expected to redistribute cards in world trading history and also in the gaming world shelving. Moreover, it can be permanent.
Activison Blizzard CEO said the opposite: “The court is far from having the last word”
Activision Blizzard CEO Bobby Kotick
Activision Blizzard CEO Bobby Kotick about the decision to employees in an internal letter “It’s not a decision we want, but it’s far from having the final word (meaning the court). “We know it will benefit from bench strength and the ability to make these technologies available immediately. If the CMA’s decision is sustained, the UK will hinder investment, competition and job creation in the gaming industry.” made the statement.
We will continue to share with you as new developments occur, stay tuned.