The time is now coming for competition authorities around the world to weigh in on Microsoft’s acquisition of Activision Blizzard for the inflated price tag of $69 billion, which is incomparably largest game-related acquisition ever.
The biggest and most important – the UK, the EU and the US – are all expected to make decisions in the coming weeks (with at least the former two expected to give their consent), but now South Africa’s Competition Commission has released a report announcing its approval of the deal. In the document we learn that the commission “found that the proposed transaction is unlikely to result in significant foreclosure concerns as the parties do not have the ability and incentive to foreclose competing game distributors, particularly Sony (Playstation) and Nintendo (Switch). Furthermore, the merging parties have made undertakings to continue supplying Call of Duty games to other console manufacturers.”
The report also includes: “the Commission found that the proposed transaction is unlikely to result in a substantial prevention or lessening of competition in any relevant markets. The Commission further found that the proposed transaction does not raise any substantial public interest concerns.”
How do you think this ends?
