Agreement between Microsoft Corp. and Activision Blizzard Inc. may be completed later than planned. This is reported by Bloomberg, citing people familiar with the situation.
The companies have no plans to abandon the deal and will continue to seek the final regulatory approvals needed to close, they said.
Recently, “regulatory momentum” shifted in favor of the deal: US Federal Trade Commission failed to block it in court, and Britain’s Competition and Markets Authority (CMA) announced the unprecedented move to open new talks on ways to assuage the UK government’s concerns. However, progress is likely not fast enough to complete a deal by July 18.
The potentially missed deadline underscores the impact of regulators in the UK, one of the biggest markets for Microsoft and Activision’s games and consoles. The CMA is concerned that the deal will reduce competition and innovation and give gamers less choice.
We remind you that in April, British regulators vetoed the agreement due to concerns about its impact on the cloud gaming market. The May 5 document prohibits companies from closing the deal, despite the fact that it has already received approval from the governments of 39 countries. The CMA retains veto power while negotiations are ongoing.