Saudi Press

Saudi Arabia and the world
Saturday, Jul 12, 2025

Microsoft-Activision Blizzard £55bn merger approved by EU - despite UK rejection

Microsoft-Activision Blizzard £55bn merger approved by EU - despite UK rejection

The European Commission said it accepted commitments made by the technology giant that it would not decrease competition in cloud gaming, where it already accounts for around 70% of the market.
The European Commission said it accepted commitments made by the technology giant that it would not decrease competition in cloud gaming, where it already accounts for around 70% of the market.

The $68.7bn (£55bn) mega merger between Microsoft and game developer Activison Blizzard has been approved by the European Union, just weeks after it was blocked by the UK.

European regulators said they accept commitments made by Microsoft that its offer to take over the developer behind Call Of Duty, would not lessen competition.

In April, the UK's regulator said it was concerned about stifling competition in the gaming sector, with Microsoft saying it would appeal the decision.

"Video games attract billions of users all over the world. In such a fast-growing and dynamic industry, it is crucial to protect competition and innovation," said EU competition commissioner Margrethe Vestager.

"Our decision represents an important step in this direction, by bringing Activision's popular games to many more devices and consumers than before thanks to cloud game streaming.

"The commitments offered by Microsoft will enable for the first time the streaming of such games in any cloud game streaming services, enhancing competition and opportunities for growth."

The company, one of the biggest tech firms in the world makes the Xbox, and accounts for up to 70% of cloud gaming services, where people play the game online without the need to download the game.

In response, Activision Blizzard CEO Bobby Kotick, said: "The EC conducted an extremely thorough, deliberate process to gain a comprehensive understanding of gaming.

"As a result, they approved our merger with Microsoft, although they required stringent remedies to ensure robust competition in our rapidly growing industry."

"We intend to meaningfully expand our investment and workforce throughout the EU, and we're excited for the benefits our transaction brings to players in Europe and around the world."

Microsoft president Brad Smith said: "The European Commission has required Microsoft to license popular Activision Blizzard games automatically to competing cloud gaming services.

"This will apply globally and will empower millions of consumers worldwide to play these games on any device they choose."

The UK regulator stands by its decision

Sarah Cardell, chief executive of the UK Competition and Markets Authority, said: "The UK, US and European competition authorities are unanimous that this merger would harm competition in cloud gaming. The CMA concluded that cloud gaming needs to continue as a free, competitive market to drive innovation and choice in this rapidly evolving sector.

"Microsoft's proposals, accepted by the European Commission today, would allow Microsoft to set the terms and conditions for this market for the next ten years.

"They would replace a free, open and competitive market with one subject to ongoing regulation of the games Microsoft sells, the platforms to which it sells them, and the conditions of sale. This is one of the reasons the CMA's independent panel group rejected Microsoft's proposals and prevented this deal.

"While we recognise and respect that the European Commission is entitled to take a different view, the CMA stands by its decision."

Even though the firm has been granted EU approval, its rejection by the CMA means they will need to seek approval in the UK to operate there.
Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Kurdistan Workers Party Takes Symbolic Step Towards Peace in Northern Iraq
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Russia Formally Recognizes Taliban Government in Afghanistan
Mediators Edge Closer to Israel-Hamas Ceasefire Agreement
Emirates Airline Expands Market Share with New $20 Million Campaign
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
Amazon Reaches Major Automation Milestone with Over One Million Robots
Meta Announces Formation of Ambitious AI Unit, Meta Superintelligence Labs
China Unveils Miniature Insect-Like Surveillance Drone
Marc Marquez Claims Victory at Dutch Grand Prix Amidst Family Misfortune
Iran Executes Alleged Israeli Spies and Arrests Hundreds Amid Post-War Crackdown
Trump Asserts Readiness for Further Strikes on Iran Amid Nuclear Tensions
Iran's Parliament Votes to Suspend Cooperation with Nuclear Watchdog
Trump Announces Upcoming US-Iran Meeting Amid Controversial Airstrikes
Trump Moves to Reshape Middle East Following Israel-Iran Conflict
NATO Leaders Endorse Plan for Increased Defence Spending
U.S. Crude Oil Prices Drop Below $65 Amid Market Volatility
Explosions Rock Doha as Iranian Missiles Target Qatar
“You Have 12 Hours to Flee”: Israeli Threat Campaign Targets Surviving Iranian Officials
Oman Set to Introduce Personal Income Tax, First in Gulf
Germany and Italy Under Pressure to Repatriate $245bn of Gold from US Vaults
Iran Intensifies Crackdown on Alleged Mossad Operatives After Sabotage Claims
Trump Praises Iran’s ‘Very Weak’ Response After U.S. Strikes and Presses Israel to Pursue Peace
WATCH: Israeli forces show the aftermath of a massive airstrike at Iran's Isfahan nuclear site
We have new information and breaking details to share about what is shaping up to be a historic air campaign tonight
Six Massive Bombs Dropped on Fordow; Trump: 'A Historic Moment for the U.S., Israel, and the World'
Fordow: Deeply Buried Iranian Enrichment Site in U.S.–Israel Crosshairs
United States Conducts Precision Strikes on Iran’s Nuclear Sites
US strikes Iran nuclear sites, Trump says
Pakistan to nominate Trump for Nobel Peace Prize.
Israel Confirms Assassination of Quds Force Commander in Tehran
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
G7 Leaders Fail to Reach Consensus on Key Global Issues
Mass exodus in Tehran as millions try to flee following Trump’s evacuation order
Iranian Military Officers Reportedly Seek Contact with Reza Pahlavi, Signal Intent to Defect
Vietnam Emerges as Luxury Yacht Destination for Ultra‑Rich
China's Iranian Oil Imports Face Disruption Amid Escalating Middle East Tensions
Trump Demands Iran's Unconditional Surrender Amid Escalating Conflict
Israeli Airstrike Targets Iranian State TV in Central Tehran
President Trump is leaving the G7 summit early and has ordered the National Security Council to the Situation Room
Netanyahu Signals Potential Regime Change in Iran
Analysts Warn Iran May Resort to Unconventional Warfare
Iranian Regime Faces Existential Threat Amid Conflict
Energy Infrastructure Becomes War Zone in Middle East
Iran Conducts Ballistic Missile Launches Amid Heightened Tensions with Israel
Iran Signals Openness to Nuclear Negotiations Amid Ongoing Regional Tensions
×