UK blocks the Xbox/Activision Blizzard deal (Update: Microsoft statement)

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Apr 26, 2023

Credit: Oliver Cragg / Android Authority

The UK’s competition watchdog has blocked Microsoft’s bid to buy Activision Blizzard.
The regulator largely cited concerns about the cloud gaming sector.
Activision Blizzard has confirmed that it plans to appeal the decision.

Update, April 26, 2023 (11:37 AM ET): We have received a statement from Microsoft about the news of the UK blocking the company’s acquisition of Activision Blizzard. Here is the statement from Brad Smith, Vice Chair and President at Microsoft:

We remain fully committed to this acquisition and will appeal. The CMA’s decision rejects a pragmatic path to address competition concerns and discourages technology innovation and investment in the United Kingdom. We have already signed contracts to make Activision Blizzard’s popular games available on 150 million more devices, and we remain committed to reinforcing these agreements through regulatory remedies. We’re especially disappointed that after lengthy deliberations, this decision appears to reflect a flawed understanding of this market and the way the relevant cloud technology actually works.