Microsoft has been on a long journey to get its hands on completely acquiring Activision Blizzard. This pursuit is finally coming to a close, as reports suggest that next week the buyout will happen at a staggering $69 billion. The makers of Call of Duty will officially be part of the Microsoft and Xbox community.
Based on sources, the deal will take place on October 13, depending on the final green light from the UK government. This marks one of the biggest deals to be made in gaming history, hence making it an important week in gaming.
CMA’s Involvement in the Microsoft and Activision Blizzard Merger
Earlier in September this year, the Competition and Market Authority (CMA), had agreed to make this deal happen based on a few changes in the terms. This led to a consultation and deadline that ends now, carrying the narrative to an end. Hence, the deal can be safely predicted to take place next week, and it’s not long before Activision Blizzard and Microsoft become a larger entity.
Also Read: FTC Has New Strategy to Ensure Microsoft Never Gets its Hands on Activision in $69 Billion Deal
In the month of April, CMA blocked the acquisition due to concerns about cloud gaming and the future of the gaming industry. This was a fair speculation, considering how Microsoft and Xbox have a strong vision for the future of cloud services like Xcloud Gaming, along with the prominence of Game Pass. In light of such concerns, Microsoft made an attempt, and redefine the acquisition, agreeing to sell streaming rights to Ubisoft. This led to CMA launching a fresh merger inquiry altogether.
During this time, CMA made an official statement about the same:
“While the CMA has identified limited residual concerns with the new deal, Microsoft has put forward remedies which the CMA has provisionally concluded should address these issues.”
It gave us a closer look at the deal and the kind of issues that might come up in the future. The statement was followed by the changes that were integrated:
“While the restructured deal is materially different to the previous transaction and substantially addresses most concerns, the CMA has limited residual concerns that certain provisions in the sale of Activision’s cloud streaming rights to Ubisoft could be circumvented, terminated, or not enforced.
To address these concerns, Microsoft has offered remedies to ensure that the terms of the sale of Activision’s rights to Ubisoft are enforceable by the CMA. The CMA has provisionally concluded that this additional protection should resolve those residual concerns.”
You can read about the merger inquiry in detail here.
What This Merger Means for the Future of Microsoft and Xbox
Game Pass subscribers can hold a positive outlook for their future, if this merger goes as well as envisioned. After all, Activision Blizzard’s huge catalogue of games will eventually be a part of the digital game service, similar to how Bethesda successfully became a part of Microsoft back in 2020. If the speculation around the future of cloud gaming is true, gamers with a PC or a smartphone with decent internet speeds can take advantage of Xcloud services going forward.
Not too long ago, Phil Spencer commented on the same:
“I want to make sure people know that there’s work to actually move games to Game Pass. So, for the people who think the deal is going to close and then everything’s available, that’s not true. And it hasn’t been true in other acquisitions that we’ve done. There’s work for us to go do, just mechanical work for us to go do. So, it’ll take us time, definitely time to get the games in the portfolio.”
Concerns around one of the biggest-selling games, Call of Duty, stay relevant though. Limiting the game to a few consoles and ‘choosing’ between different player bases on different platforms can make or break a franchise’s future. This is something we’ll have to wait and watch, considering the exciting future of cloud gaming and how games sync between multiple platforms.
Also Read: Phil Spencer’s Reaction to FTC Leaks Has Emerged
What are your thoughts on the merger? Do you think it’s a good idea for the future of Xbox and gamers overall? Let us know in the comments.
Source: The Verge
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