EU Wants To Know If Microsoft Will Block Rivals After Activision Deal
Last Updated on: 10th October 2022, 02:16 pm
The European Union is asking games developers whether Microsoft will be incentivised to block rivals’ access to Activision Blizzard’s best-selling games. The document, seen by Reuters, states that the regulators want to know “whether Microsoft will be incentivised to block rivals’ access to the Call of Duty and Destiny franchises, as well as other successful Activision Blizzard games.”
Microsoft is under scrutiny from the European Union for its proposed $69 billion acquisition of Activision Blizzard. The EU is asking the company whether it will be incentivized to block rivals’ access to “Call of Duty” maker Activision Blizzard’s best-selling games.
The EU competition enforcer asked if Activision Blizzard’s trove of user data would give the U.S. software giant a competitive advantage in the development, publishing, and distribution of computer and console games. But the EU document doesn’t mention any concerns about the data being shared between Activision Blizzard and Microsoft.
Instead, the EU seems to be worried about how this acquisition will affect competition in the gaming industry. The EU document says that the planned acquisition will help Microsoft better compete with leaders Tencent and Sony.
But the EU document also says that the acquisition could give Microsoft a competitive advantage in the development, publishing, and distribution of computer and console games. This is because Activision Blizzard has a lot of user data.
However, Microsoft’s recent acquisition of game developer and publisher Activision Blizzard could have a significant impact on the terms of video game deals and the market for console and PC games. Regulators are asking game developers, publishers, and distributors whether the deal will affect their bargaining power and if there will be sufficient alternative suppliers in the market.
Xbox & Its Game Pass Streaming Service
If Microsoft makes Activision Blizzard’s games exclusively available on its Xbox and its Game Pass streaming service, that could limit competition and lead to higher prices for games. And if Microsoft decides to block rivals from selling games on Xbox, that could have a big impact on the console and PC games market.
So far, the regulators have been mum on their opinion of the deal. However, they’ll likely have a lot to say once Microsoft has fully revealed its plans. In the meantime, game developers, publishers, and distributors will have to watch closely to see how the deal will play out.
As Microsoft gears up to acquire Activision Blizzard, the gaming world is curious to see how the two companies will work together. The question on everyone’s mind is how this will impact competitors in the video gaming industry.
Microsoft is asking gamers what they think of the deal and what their thoughts are on Microsoft’s operating system, cloud computing services, and game-related software tools. The company is also looking into how important the Call of Duty franchise is for distributors of console games, third-party multi-game subscription services on computers, and providers of cloud game streaming services.
The questionnaire is aimed at gaining insights into how gamers feel about Microsoft’s competitors and how they might be impacted by the acquisition. Microsoft is hoping to gain valuable information that can help the company improve its products and services.