CMA provisionally approves Microsoft's acquisition of Activision Blizzard

Restructuring in Microsoft's proposal seems to have pleased the UK regulator

It appears that Microsoft's journey to acquire Activision Blizzard is nearing its end. The United Kingdom's Competition and Markets Authority (CMA) published a provisional decision on Friday (22) that is favorable to the acquisition.

The decision comments on the changes made in Microsoft's proposal, primarily regarding Cloud Gaming. One of the changes made was an agreement for Ubisoft to have the streaming rights for Activision Blizzard's cloud gaming.
 

"The CMA considers that the restructured deal makes important changes that substantially address the concerns it set out in relation to the original transaction earlier this year," said the CMA in a press release, and "opens the door to the deal being cleared."

While this is a preliminary decision before final approval, the CMA states that it has already opened a consultation to gather feedback from third parties on the changes proposed by Microsoft, until October 6. A final decision is expected before the extended deadline of October 18.
 

"Although the CMA has identified limited residual concerns with the new deal, Microsoft has proposed solutions that the CMA has provisionally concluded should address these issues."

We are encouraged by this positive development in the CMA’s review process. We presented solutions that we believe fully address the CMA’s remaining concerns related to cloud game streaming, and we will continue to work toward earning approval to close prior to the October 18…

— Brad Smith (@BradSmi) September 22, 2023

It seems this story is nearing its end. After being blocked in April by the CMA, the acquisition may be heading towards a favorable outcome for Microsoft.