Microsoft’s proposed acquisition of gaming giant Activision Blizzard has been making headlines since it was announced in January 2022. The $68.7 billion deal would make Microsoft the owner of some of the biggest gaming franchises in the world, including Call of Duty, World of Warcraft, and Candy Crush.
While the acquisition has been welcomed by some, others have raised concerns about the impact it could have on the gaming industry. One of the latest opponents to the deal is the UK government, which has expressed concerns that the acquisition could harm gamers.
Microsoft’s Acquisition of Activision
Microsoft’s acquisition of Activision Blizzard is one of the biggest deals in the gaming industry’s history. The deal, which is expected to be completed in the second half of 2023, will see Microsoft acquire one of the biggest gaming companies in the world.
Activision Blizzard has a portfolio of some of the most popular gaming franchises in the world, including Call of Duty, World of Warcraft, and Candy Crush. Microsoft has stated that the acquisition is part of its strategy to expand its gaming business and reach more gamers around the world.
Concerns Raised by UK Government
The UK government has now joined a growing list of opponents to the deal, raising concerns that the acquisition could harm gamers. In a statement, the UK’s Competition and Markets Authority (CMA) said it had “concerns that the deal could lead to reduced choice and competition for UK gamers, and potentially higher prices for popular video games”.
The CMA also highlighted concerns that the deal could lead to a reduction in the quality and innovation of games, as well as potential job losses in the UK gaming industry. The CMA has launched an investigation into the deal, which is expected to take several months.
Potential Impact on Gamers
One of the main concerns raised by opponents of the deal is that it could lead to higher prices for gamers. With Microsoft owning some of the biggest gaming franchises in the world, there are fears that the company could use its market power to increase the price of games.
There are also concerns that the acquisition could lead to a reduction in the quality and innovation of games. With Microsoft now owning Activision’s portfolio of games, there are fears that the company may focus on a smaller number of franchises and reduce investment in new games and innovation.
In addition, there are concerns that the deal could lead to a reduction in choice for gamers. With Microsoft owning some of the biggest gaming franchises in the world, there are fears that the company may prioritize its own franchises over those of other companies, leading to a reduction in the variety of games available.
Potential Impact on the Gaming Industry
The UK gaming industry is one of the biggest in the world, and there are concerns that the Microsoft-Activision deal could harm the industry. One of the main concerns is that the deal could lead to a reduction in competition, with Microsoft owning some of the biggest gaming franchises in the world.
There are also concerns that the deal could lead to a reduction in innovation and investment in new games
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