Things seem to be looking up for the future of Microsoft’s 69.7 billion Activision Blizzard acquisition deal. The tech company’s readiness to offer licensing deals towards the concerns of acquisitions detractors, especially EU regulators, seems to be the break that the company needed to jump major hurdles according to Reuters.
Last month, Microsoft officially signed a 10-year licensing deals with Nintendo and Nvidia, following key meeting in Brussels with EU regulators. Those deals would bring Call of Duty to their gaming platforms following the Activision deal being green-lit. The tech company had previously offered the same deal to its biggest competitor PlayStation, and will likely continue to offer it as negotiations carry on.
It’s reported that these deals have swayed the EU regulator’s view of the deal in a more positive light, sources said that the regulators are now unlikely to demand Microsoft selling assets for its approval. That said, EU regulators have until April 25 to make their final decision.
First announced in January 2022, the Activision Blizzard acquisition has been on the end of staunch criticism from industry competitors over fears of its negative impact on industry competition and the possibility of limiting popular titles on competing platforms.
It came to a head when regulators in the EU, UK and US launched massive investigations against the deal, amounting to a lawsuit from the Federal Trade Commission (FTC). While the EU regulators reportedly seem to be coming around to Microsoft’s efforts, they continue to be a hard sell for UK’s Competition and Markets Authority (CMA). The CMA’s proposed remedies for the acquisition involved Microsoft selling off “…Activision Blizzard’s business associated with Call of Duty.”
While it’s uncertain that the tech company will concede with those terms, Microsoft has remained steadfast in their defense for the acquisition and willing to cooperate with the deal’s detractors in order for it to pass.
“Our commitment to grant long-term 100% equal access to Call of Duty to Sony, Steam, NVIDIA and others preserves the deal’s benefits to gamers and developers and increases competition in the market,” said Microsoft.