EU approves Microsoft’s acquisition of Activision

Posted on May 18, 2023

Despite the UK vetoing Microsoft’s acquisition of Activision, the European Union has given its approval for the acquisition to go ahead. The European Commission had issues with Microsoft’s competition claims, but Microsoft has successfully addressed them.

This isn’t the last hurdle for Microsoft and there are still a number of challenges they must complete before the acquisition goes through. But it’s still a victory for Microsoft, who now needs approval from US and UK regulators to complete the acquisition.

The EU Commission reached their decision after doing in-depth research into Microsoft’s competitiveness in the market, noting that they would not rival other consoles or multi-game subscription services. Microsoft is currently looking at cloud gaming services, which they believe to be the future of gaming. Fear of their dominance in this sector is the reason the UK vetoed their acquisition, and the US has a judge’s decision that might not be heard until the end of the year.

Even if the acquisition doesn’t go through, Microsoft still has 10-year licensing deals with several cloud streaming rivals. Nintendo and Sony are also getting access to Call of Duty, while Activision Blizzard still gets a hefty sum regardless of the acquisition’s success. With one hurdle down and two to go, the biggest potential game merger in history is not out of sight yet.