Britain blocks Microsoft's $69 billion acquisition of Activision Blizzard

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Britain's top competition regulator on Wednesday moved to block Microsoft's acquisition of video game publisher Activision Blizzard.

slumped 10% in U.S. pre-market trading.

Microsoft could make Activision's games exclusive to its cloud gaming platform, Xbox Game Pass, cuting off distribution to other key players in the space, the CMA said. "Microsoft has a strong position in cloud gaming services and the evidence available to the CMA showed that Microsoft would find it commercially beneficial to make Activision's games exclusive to its own cloud gaming service," the CMA said in a press released Wednesday.

Microsoft offered the CMA remedies in an attempt to resolve its concerns — including "requirements governing what games must be offered by Microsoft to what platforms and on what conditions over a ten-year period" — however the regulator rejected the proposals.

 

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