Microsoft’s proposed takeover of Activision Blizzard has now been blocked by the UK Competition and Markets Authority. The CMA said the deal was blocked due to concerns that the deal would change the future of the fast-growing cloud gaming market, which they say would reduce “innovation and less choice for UK gamers for years to come.” They went on to say that Microsoft’s solution had “significant flaws” and that “Cloud gaming needs a free, competitive market to encourage innovation and choice.”
“Microsoft says it will appeal the decision, but it’s a blow to Microsoft’s hopes of acquiring Activision Blizzard and is likely to prevent the company from closing its big deal if the appeal is unsuccessful.”