UK regulators are monitoring a restructured Activision Blizzard deal for cloud gaming in the light of European Commission investigations
Microsoft is restructuring its proposed Activision Blizzard deal to transfer cloud gaming rights for current and new Activision Blizzard games to Ubisoft. The transfer of rights is designed to appease regulators in the UK that are concerned about the impact Microsoft’s proposed $68.7 billion deal will have on cloud gaming competition. A new regulatory investigation may last until October 18th in the UK due to the restructured deal.
“The Commission is carefully assessing whether the developments in the UK require another notification to the Commission,” says European Commission spokesperson Arianna Podesta in a statement to The Verge.
The European Commission cleared a deal in March, but another notification could signal a further review. While the EU had cloud gaming concerns just like the EU, it secured remedies as part of that approval, granting EU consumers a free license to stream via “any cloud game streaming services of their choice” all current and future Activision Blizzard PC and console games that they have a license for. Cloud providers will also be offered a free license to stream these games in EU markets.
UK regulators are already treating this as a new deal, with the Competition and Markets Authority (CMA) opening a new “phase 1” investigation into this restructured deal. Microsoft will have to wait to see if the European Commission needs to refresh notification for the deal.
Ubisoft Plus Multi Access, Activision Blizzard Games, and the Competition and Markets Authority: Is it a Green Light?
Ubisoft will also add Activision Blizzard games to its Ubisoft Plus Multi Access subscription, which is available across PC, Xbox, Amazon Luna, and on PlayStation via Ubisoft Plus Classics.
The CMA will now assess the reworked deal over the coming weeks and deliver a decision by the October 18th deadline. “This is not a green light. Sarah Cardell, chief executive of the Competition and Markets Authority, says that they will carefully assess the details of the restructured deal. “Our goal has not changed – any future decision on this new deal will ensure that the growing cloud gaming market continues to benefit from open and effective competition driving innovation and choice.”