Microsoft Offers Alternative Solutions to Address UK Regulator's Concerns Over Activision Acquisition

In response to the UK's Competition and Markets Authority, Microsoft has outlined its own set of remedies to alleviate concerns surrounding the proposed acquisition of Activision Blizzard. The company has detailed a series of measures, including content and cloud licensing agreements, designed to ensure that Activision games remain accessible on various platforms and services. Microsoft's proposals are an attempt to address the regulator's concerns without having to divest parts of Activision Blizzard's business. The company argues that such a divestment would be impractical and have severe adverse effects on the gaming industry. Instead, Microsoft suggests that its proposed licensing agreements, including a ten-year deal with Sony to make Call of Duty games available on PlayStation platforms, will provide parity and ensure that Call of Duty is not exclusive to Xbox. Additionally, Microsoft has proposed a similar licensing deal for cloud gaming providers, enabling them to access Call of Duty, World of Warcraft, and other Activision Blizzard games on PC. The company has also offered to appoint a monitoring trustee and an independent adjudicator to oversee compliance with these agreements. In contrast, Sony has expressed skepticism about the effectiveness of Microsoft's proposals, advocating for a structural divestiture to ensure that critical Activision content remains in independent hands. The UK regulator is expected to release its final decision on the acquisition by April 25, 2023.