Introduction

The U.K. competition regulator has announced an extension of the deadline for its review of Microsoft’s takeover of video game publisher Activision Blizzard. This decision was made to allow more time for the watchdog to review proposals by both parties and address concerns raised during the review process.

Extension of Review Period

The U.K. Competition and Markets Authority (CMA) has decided to extend the review period by six weeks. This extension will provide the necessary time to thoroughly consider the proposals and special reasons for the extension. The revised deadline for the review is set for August 29, 2023.

CMA’s Opposition to the Takeover

The CMA has been a vocal opponent of Microsoft’s $69 billion acquisition of Activision Blizzard. The regulator initially blocked the deal in April due to concerns about competition in the emerging cloud gaming market. However, the CMA has indicated a potential shift in their stance, expressing a willingness to resume discussions with Microsoft.

CMA’s Statement and Microsoft’s Response

A spokesperson from the CMA stated that they are open to considering any proposals from Microsoft that address the concerns outlined in their Final Report. This indicates a potential opportunity for Microsoft to restructure the transaction and alleviate the CMA’s competition concerns. Microsoft has yet to provide a formal response to the extension of the review period.

Note

This is a breaking news item and will be updated shortly.