It’s no secret that Microsoft has been going all out in their move to buy Activision Blizzard. The tech giant has been belting it out against all odds as they continuously faced obstacles throughout its course. The road to the acquisition of Activision Blizzard was never an easy road, but it seems Microsoft is about to face another massive roadblock. Canada’s regulatory authority took their stance against Microsoft, solidifying their position.
The reveal came out just today as Microsoft faced off against the Federal Trade Commision, testifying their deal. The reason behind the negative sentiment is once against the fear of Microsoft having too much power! The tech giant already has their grips on the gaming world and Microsoft acquiring Activision Blizzard could prove to be too much. The creation of a monopoly is never a good sign in any market!
The $79 billion dollar deal has faced multiple setbacks as a large number of regulatory authorities continuously opposed the acquisition. The EU, the CMA from the UK and the FTS from the USA have all spoken against the deal. The CMA completely kicked aside the idea of Microsoft buying Activision Blizzard, whereas, the EU accepted the idea whilst presenting major conditions to the trade deal.
Why is Canada against Microsoft?
According to Tom Warren, the Canadian Regulatory Bureau highlighted some inaccuracies present in Microsoft’s filings. With Canada against Microsoft, they started by analyzing the tech company’s documents, global regulatory authorities have agreed on the idea that Xbox wouldn’t remove Call of Duty from PlayStation. However, the Canadian regulatory bureau is not buying any of it, stating that the merger will most likely allow Microsoft to significantly damper the competition they face.
However, it should be mentioned that a large number of countries have sided with Microsoft. Japan, China, Brazil, Saudi Arabia and many more commissions have given the greenlight for the deal to go through. It’s impressive to note that Sony is still against the acquisition, and is continuously pushing the authorities to deny any slack being given to Microsoft.
The recent oath by Phil Spencer, the CEO of Xbox, might not be enough to convince the remaining commissions and competitors with Canada against Microsoft. Even though he promised not to remove Call of Duty from PlayStation, the recent discoveries by the Canadian Regulatory Bureau says otherwise. What comes of the deal is yet to be decided, but things aren’t looking good for Microsoft.
