Under the restructured agreement, cloud rights to Activision Blizzard's games will be divested to Ubisoft prior to Microsoft's acquisition.
The CMA said Microsoft and Activision Blizzard have agreed to a, which the CMA will now investigate with a decision deadline of Oct. 18. As part of the new deal, Microsoft will not acquire cloud rights for existing Activision Blizzard PC and console games, or for new games released by Activision Blizzard during the next 15 years, the CMA said. Instead, these rights will be divested to Ubisoft prior to Microsoft's acquisition of Activision Blizzard.
"The agreement provides Ubisoft with a unique opportunity to commercialize the distribution of games via cloud streaming," Brad Smith, Microsoft's president, said in a. "The agreement will enable Ubisoft to innovate and encourage different business models in the licensing and pricing of these games on cloud streaming services worldwide."
Ubisoft publishes popular games from the Assasin's Creed, Tom Clancy's Rainbow Six and Far Cry franchises. The restructured deal is intended to provide an independent third party with the ability to offer Activision Blizzard's gaming content to all cloud gaming service providers, including Microsoft itself. Ubisoft offers cloud games on services like Amazon Luna and Nvidia's GeForce Now, which compete with Microsoft's Xbox streaming service.
Smith said Ubisoft will compensate Microsoft through a "one-off payment" and a "market-based wholesale pricing mechanism" that includes pricing options based on usage.
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