Microsoft close to finalizing purchase of Activision Blizzard: CMA approval about to fall

If everything goes like this Microsoft wait, Next week you’ll be able to close your purchase of Activision Blizzard. Reportedly EdgeRedmond residents are optimistic about getting final approval from the UK CMA before the deadline.

Representatives of Satya Nadella bet on completing the deal for $68.7 billion. next Friday, October 13th. If this is achieved, then a rocky road that began in January 2022 and included numerous investigations, a trial in the US and an open fight with PlayStation for the future Call of Duty.

If Microsoft gets the go-ahead from the UK, it will clear the final regulatory hurdle before getting its hands on Activision Blizzard. Recall that July 18 was originally the deadline for completing the agreement; However, both companies extended it until October 18.

This comes days after Redmond residents won a lawsuit in which the US Federal Trade Commission tried to block the purchase and reached an agreement with Sony to keep COD on PlayStation for 10 years. Then the British CMA and Microsoft signed peace and resumed dialogue with unlock conflict between both.

Microsoft is days away from completing its purchase of Activision Blizzard

For Microsoft to close its acquisition of Activision Blizzard before the deadline, it must appear UK regulatory approval. In September, the CMA gave preliminary approval to the agreement and directed the decision toward an outcome favorable to Washington.

That the company gave him the rights to cloud games from Activision Blizzard to Ubisoft played a crucial role in changing the British attitude. There were still some “residual concerns” about the feasibility of the agreement. Although the authorities themselves admitted that Microsoft had already provided additional resources as a guarantee.

Although Redmond officials hope to finalize the deal next week, They don’t lose sight of what’s happening today. It comes as the CMA has opened a third party consultation period following the announcement of provisional approval last month, which ends this Friday 6 October. If the day ends without anyone in the industry raising any objections, the path will be cleared for the takeover of the Santa Monica, California-based company to be completed.

What happens when the deal is completed?

If the UK finally approves the purchase, Activision Blizzard will become part of Microsoft Gaming. Phil Spencer, the leader of Xbox and CEO of the aforementioned subsidiary, will be in charge of running the company. What hasn’t been determined yet is what will happen to Bobby Kotick, the California-based company’s current chief executive.

Let’s remember that when Microsoft announced the purchase, Activision Blizzard was going through the most turbulent moment in its history. A scandal recently erupted over allegations of sexual harassment and a toxic work culture, placing Kotick among those responsible for encouraging and perpetrating such behavior.

There have been rumors from the beginning that Kotick would retire once the acquisition was completed. If his departure is completed, it is expected that the chief executive about 400 million dollars will be requiredgiven his nearly 4 million Activision Blizzard shares and additional benefits.

Microsoft is looking to leverage the company’s vast catalog of intellectual property to strengthen its Game Pass strategy. Moreover, once the deal with Activision Blizzard is closed, it will become the third-largest profitable video game company in the world after Tencent and Sony.