Big update just today… Microsoft will be able to close the deal in the US and now they’re going to make some concessions for the UK to get it approved by the CMA…
Cloud gaming is gonna go huge!
Update: It looks like Microsoft will carve out Activision Blizzard content from the UK version of its Game Pass…
Not a big deal for me since I don’t care about playing any of the Call of Duty games or diablo so I don’t really see a benefit to game pass…
Overwatch is the only game I play all that much and that’s free…
But I wonder if this means that we won’t get overwatch on cloud gaming services like GFN in the UK?
That would be a shame…
Citing sources, CNBC’s David Faber claimed on Tuesday that Microsoft is offering a small and discrete divestiture to the CMA that it believes the watchdog will accept.
In a research note to investors, Wedbush Securities analysts Nick McKay and Michael Pachter predicted Microsoft will complete the deal before next week’s deadline.
“We expect Microsoft to move forward to close the deal by next Tuesday, and expect the company to carve out its Game Pass subscription service in the UK in order to comply with the CMA ruling blocking the merger,” they wrote.
“In that narrow decision, the CMA ruled that the deal would not substantially lessen competition in any area (PC, console or mobile), but could lessen competition in the ‘streaming video game services’ segment.
“We believe Microsoft can carve out Game Pass UK PLC as a separate operating subsidiary with an independent board charged with keeping Activision content off the Game Pass platform pending the conclusion of Microsoft’s appeal of the CMA decision. This would likely satisfy the CMA, and the deal should close by next Tuesday.”