The UK’s Competition and Markets Authority have confirmed that an official investigation has begun in regards to Microsoft purchasing Activision Blizzard. They intend to confirm whether the deal could be anti-competitive, and just how much damage it could do to competition, by September 1, 2022.
If the deal is found to be anti-competitive, the CMA would investigate further and let both Microsoft and Activision address their concerns. It is unlikely that the purchase won’t go through, as even when combined the companies will still only make up 10.7% of the global market thanks to its many competitors.
Microsoft announced their intention to purchase Activision Blizzard back in January for the price of $68.7 billion.
“As with all merger reviews, this investigation will consider whether the deal could harm competition and lead to worse outcomes for consumers — for example, through higher prices, lower quality, or reduced choice.” said the CMA.
Microsoft and Activision Blizzard expect the purchase deal to be completed sometime within the next 12 months.