Microsoft considers exiting UK studio Activision to circumvent CMA blocking of deal

It has become known that Microsoft is considering withdrawing Activision from the UK market in order to circumvent the CMA blocking and complete a $69 billion deal, Bloomberg reported, citing its own sources.

According to this source, Microsoft President Brad Smith is planning to meet with UK Chancellor Jeremy Hunt next week to express his disappointment with the decision of the Competition and Markets Authority (CMA) to block the deal. A Microsoft spokesperson confirmed that Smith will visit London to deliver a speech on the potential of artificial intelligence and the need for its regulation. In addition, he plans to hold private discussions, including a discussion of Activision's proposed acquisition of Blizzard, in search of constructive ways to resolve regulatory issues.

Hunt has been critical of the CMA's decision and recently said at a business conference that competition watchdogs need to recognise their wider responsibilities. However, according to Bloomberg, government ministers are also unhappy with Smith's public criticism of the CMA, in particular his statement about the EU's superiority as a place to do business over the UK.

Source: VGC