While Microsoft anticipates final verdicts on its acquisition of Activision Blizzard from the UK, EU, and US in the upcoming weeks, the South African Competition Commission has published a report approving the $69 billion deal.
With the approval, South Africa is now one of the several big gaming markets including Chile, Brazil, Saudi Arabia, and Serbia to approve the Microsoft’s acquisition of Activision Blizzard.
The commission earlier showed concern over Microsoft making the Call of Duty Franchise, but later concluded that the efforts from the company to make it available and will help in making the game available to more players. They further explained that it will not result in substantial prevention or a decrease in the competition.
The statement says, “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.”
While the gaming giant is steadily getting a grip on the merger, especially with the Competitions and Markets Authority (CMA) changing their stand on the merger saying after further investigation, they found that it will not result in lessening of competition. EU and UK commission are yet to speak on the topic.
Activision Blizzard CEO Bobby Kotick said, “The South African Competition Commission recommended approval of our merger with Microsoft based on a thorough review of the facts about competition in the gaming industry. We appreciate this additional affirmation from an important global regulator,” in a statement to GamesIndustry.biz.
Sony not happy with the deal
Sony has thoroughly expressed its displeasure with CMA’s revised standing, claiming it is “surprising, unprecedented, and irrational.” The company have been vocal on the merger and claiming the Microsoft will butcher the competition and make Call of Duty franchise Xbox and PC exclusives.
Microsoft responded by offering a 10-year deal to both Sony and Nintendo for CoD, claiming that making the game exclusive will only hurt the sales for the company. Besides, the company claims they want to make the game available and affordable for as many players as possible.