The European Commission has opened an “in-depth investigation” into Microsoft’s proposed acquisition of Activision Blizzard.
In a assertion issued yesterday (November 8), the Commission highlighted that Microsoft‘s acquisition may “significantly reduce competition on the markets for the distribution of console and PC video games, including multi-game subscription services and/or cloud game streaming services, and for PC operating systems.”
“In particular, the Commission is concerned that, by acquiring Activision Blizzard, Microsoft may foreclose access to Activision Blizzard’s console and PC video games, especially to high-profile and highly successful games (so-called ‘AAA’ games) such as Call of Duty,” continued the assertion.
The Commission added that Microsoft “may have the ability, as well as the potential economic incentive” to stop Activision Blizzard’s video games from being bought on different consoles, and has “concerns” that Microsoft’s library may “discourage” customers from shopping for non-Windows PCs.
It additionally raised the priority that if Microsoft made Activision Blizzard’s video games unique to its Game Pass and streaming companies, it may result in “higher prices, lower quality and less innovation for console game distributors, which may in turn be passed on to consumers.”
The investigation has till March 23, 2023, to succeed in a call. However, it’s not the one investigation that the acquisition faces – the UK’s Competition and Markets Authority can also be finishing up a extra in-depth investigation into the acquisition.
In September, Microsoft CEO Satya Nadella recognised that “any acquisition of this size will go through scrutiny,” however mentioned the corporate feels “very, very confident” it is going to be authorized.
Meanwhile, Xbox head Phil Spencer just lately acknowledged that Microsoft plans to launch Call of Duty on Sony‘s consoles for “as long as there’s a PlayStation out there to ship to,” and shared that he would “love” to see the sequence obtainable on Nintendo Switch.
