UK watchdog blocks Microsoft’s $69 billion takeover of Activision Blizzard

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UK watchdog blocks Microsoft’s $69 billion takeover of Activision Blizzard
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Microsoft had offered to make popular video games such as “Call of Duty” available to rival platforms such as Nintendo and Sony.

The British government’s antitrust authorities have blocked Microsoft’s $69 billion acquisition of “Call of Duty” maker Activision Blizzard, claiming that the merger will negatively impact the competitive landscape in the gaming market.

“Microsoft already enjoys a powerful position and head start over other competitors in cloud gaming and this deal would strengthen that advantage giving it the ability to undermine new and innovative competitors,” Martin Coleman, the head of an independent panel that was picked by the UK Competition and Markets Authority, said in a statement on Wednesday.

Bobby Kotick, the CEO of Activision Blizzard, wrote a memo to employees which read: “This isn’t the news we wanted — but it is far from the final word on this deal. Alongside Microsoft, we can and will contest this decision, and we’ve already begun the work to appeal to the UK Competition Appeals Tribunal.”Activision Blizzard is the maker of popular video games including “Call of Duty.

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