European Commission may approve Microsoft-Activision merger

European Commission may approve Microsoft Activision merger

Regulators at the European Commission are expected to announce their decisions on the Microsoft-Activision merger for approval.

Sources told Reuters that EU regulators at the European Commission are expected to make the final decision on the Microsoft-Activision merger on Monday, May 15, and that approval is likely.

European Commission to approve Microsoft-Activision merger

While regulators such as the Competition and Markets Authority (CMA) and the Federal Trade Commission (FTC) are trying to block the $68.7 billion Microsoft-Activision merger on the grounds that it has anti-competitive effects, the merger is expected to be approved in Europe.

According to a report by Reuters’ Foo Yun CheeIt is stated that the European Commission may take an early merger decision on May 15, exactly one week before the deadline of 22 May. The deal is expected to be approved in the EU, as Microsoft’s 10-year licensing agreements are believed to be sufficient to counter theories of potential losses in the console gaming and cloud streaming market segments.

Microsoft’s licensing deals with cloud competitors like GeForce Now may be enough to satisfy regulators and stifle theories of potential harm in the cloud gaming space.

Microsoft also signed a 10-year deal to bring Call of Duty and Activision games to rival platforms like the Nintendo Switch, and offered Sony a similar offer for PlayStation, but Sony rejected the deal for specific reasons that were kept confidential.

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