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Activision stock plunges as U.K. regulator says it will 'prohibit' Microsoft merger

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Activision shares plunge as U.K. regulator says it will block Microsoft purchase

The U.K. regulator says it would block Microsoft Corp.’s mega-deal for videogame publisher Activision Blizzard Inc., citing the potential for negative impacts on competition in the cloud-gaming market.

The U.K.’s Competition and Markets Authority said Wednesday that it would “prohibit” the merger as it could make Microsoft stronger in the market for global cloud-gaming services. The company already has an estimated 60% to 70% share in this market, the regulators said.

 

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