Recent rumors suggest that the Microsoft Activision Agreement The hearing in Brussels last month may have partially swayed the EU, but it appears the UK’s Competition and Markets Authority (CMA) remains skeptical. According to a new report, the CMA is “on the verge of diverging” from its European counterpart.
Why CMA Approval Matters to Microsoft Activision Deal
Equity Report, a news site dedicated to global financial markets and merger activity, says in a paid article that the CMA will not be influenced by the decision of the European Commission (EC) and will not hesitate to diverge. Microsoft has previously stated that the CMA’s proposed solutions, which include downloading Call of Duty, are unacceptable.
If the CMA decides to block the merger, it will certainly spell the end of the deal, although it’s unclear whether Microsoft and Activision Blizzard have a backup plan. Unlike some regulators around the world, the CMA is an independent body whose decisions cannot simply be overturned in court or easily appealed. We understand that CMA’s approval is required for the deal to go through.
Microsoft certainly felt that the CMA remained its biggest hurdle. The company has resorted to running full-page ads in UK newspapers, but this is unlikely to impress the regulator.