​Microsoft has overcome a difficult hurdle in the long process of obtaining approval to buy the gaming company Activision Blizzard for $68.7 billion. The UK CMA, which initially opposed it, has now given the go-ahead after Microsoft made changes. Being a big deal, it required a lot of analysis as it will have multiple impacts on the gaming market.

The CMA has asked Microsoft to change a number of things and make some concessions so that other major video game companies, especially Ubisoft, are not affected by Microsoft’s acquisition of Activision.

The CMA was the main opposition to the transaction, but the green light given now “smoothes” the way for this transaction.

In the US, the Federal Trade Commission tried to block the deal, but the FTC’s efforts were blocked by a court in July.

In April, Britain’s competition authority announced it was blocking a proposed transaction by which Microsoft wants to acquire Activision Blizzard. The CMA said at the time that Microsoft already had a strong position in the market and had a big advantage, which could mean it could affect new competitors.

The fear was that Microsoft would have complete control over popular games like Call of Duty, and that the presence of these games on some platforms would be prohibited.

In January 2022, Microsoft announced its intention to acquire Activision Blizzrd, the largest deal in video game history, but the proposed takeover was scrutinized by US, UK and EU authorities.

In May 2023, the European Union announced that it approved the transaction.

Sources: CNBC, The Verge

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