Microsoft’s $68.7 billion acquisition of Activision Blizzard has been met with several mixed reactions from the gaming industry, with some praising Microsoft for its bold move and others expressing concern over the company’s growing influence.Sony’s criticism of the CMA’s decision to approve the deal is the latest pushback Microsoft has faced since the announcement of the acquisition.Sonyhas criticized the Competition and Markets Authority’s (CMA) recent decision to approve Microsoft’s acquisition of Activision Blizzard, calling it “surprising, unprecedented, and irrational.”
The 10 pages of the document provide insights that support Sony’s contention that the CMA made a mistake in concluding that Activision Blizzard’s acquisition by Xbox won’t negatively impact the console industry. According to Sony, the CMA’s study devalues the amount of money that could be made fromCall of Dutyplayers who wouldswitch from PlayStation to Xboxif Microsoft restricted game access.
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Sony claims that the CMA failed to establish that Microsoft could still wrest control ofCall of Dutyfrom PlayStation if it desired and that the CMA failed to raise any concerns about potential business benefits Microsoft would derive from such a move. The statement also referred to the controversy from last month when the creative director ofRedfall, Harvey Smith, claimed thatafter buying Bethesda, Microsoft shelved plans for a PlayStation 5 version of the game. Sony further outlined a number of alleged “errors” in the CMA’s most recent analysis of the deal’s possible implications.
Sony’s criticism of the CMA’s decision to approve Microsoft’s acquisition of Activision Blizzard is not unexpected. Since the news of the acquisition broke,Sony has been vocal in its oppositionto the deal. The company believes that the acquisition will give Microsoft too much power in the gaming industry, particularly in the console market.
However, the UK regulator is currently evaluating the takeover’s effects on the market for cloud gaming, so Microsoft isn’t quite over the line yet. Later this month, on April 26, the CMA is scheduled to announce its ultimate judgment over Microsoft’s acquisition of Activision Blizzard. While it seems improbable that the CMA will change its mind, the regulator is still evaluating the deal’s effects on the market for cloud gaming. It remains to be seen what the ultimate impact of the acquisition will be, but it is clear that there are still many questions and concerns surrounding the deal.
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