Microsoft-Activision-Blizzard Discussion Thread |OT3| - Sony bends the knee!

[OD62]

@howlingmosquito

The CMA is basically corrupt or ignorant. Being cordial with remedies didnt help one iota, so whats the point in being nice? Could have said from the outset “All these games, especially CoD will be Xbox exclusive” and it would have made as much difference.

The FTC and CMA are just content to invent markets for purposes of creating monopolies where none exist to block deals. FTC can be beaten in court, CMA is self fulfilling. It really needs to be brought down.

I agree. Unfortunately no deal can pass without their agreement and they seem determined to block Microsoft, so the development of Xbox will be complicated. Under these conditions, it will probably be necessary to abandon acquisitions of publishers and opt for acquisitions of studios and exclusive contracts with XGP. Microsoft should respond to these provocations by acquiring a dozen independent studios to show Sony and regulators that they do not intend to give up and that they are ready to fight back.

@peter42O

Okay…so what if CMA comes up with another excuse to block the deal…can Microsoft appeal it again? If so, is it just a repeat of the first appeal?

I’m no expert, but I think the CMA wanted to block the deal from the start and just chose the best way to do it by removing PlayStation from the equation. I think if Microsoft wins the appeal, CMA will find another reason to block the deal. It’s a personal view, but I no longer expect ABK to join the Xbox family. The system is corrupt and out of step with market reality.

[Frost]

@OD62

I’m no expert, but I think the CMA wanted to block the deal from the start and just chose the best way to do it by removing PlayStation from the equation. I think if Microsoft wins the appeal, CMA will find another reason to block the deal. It’s a personal view, but I no longer expect ABK to join the Xbox family. The system is corrupt and out of step with market reality.

That’s my opinion too. Once they started bringing up Windows you know they just wanted to block this deal and even if the cloud part is overturned expect them to come up with another flimsy reason to oppose the deal

[OD62]

@Frost

…trends’. The document also states that Activision’s IP is a ‘must-have for any broad gaming library service, allowing them to command advantageous terms’. It also looks like Microsoft attempted to acquire another mobile publisher We note Microsoft’s submission that Activision has significant strength in mobile gaming, and consider that the presence of Activision’s games on any mobile gaming store would enhance its competitiveness. However, we also consider that this could be achieved by less anti-competitive means than the Merger, and Microsoft could acquire ‘attractive content and experience with player engagement and acquisition’ by buying a different mobile games publisher. This appears to have been Microsoft’s strategy – it attempted to buy [REDACTED] in [REDACTED], and said [REDACTED] .

Probably Take Two and Zynga. I think that was the original plan and it’s likely that Microsoft was planning to acquire them after ABK. Microsoft shouldn’t have expected so much opposition from regulators.

[proelitedota (Andrew)]

So the ultimate goal for the CMA is preserving the status quo as is in cloud gaming instead of preventing SLCs.

That might be grounds to appeal on point of law.

[PsyDec]

@Djbirdman26

Doesn’t matter. In the end CMA will just say it strengthens Microsoft hold on cloud gaming therefore blocked. That’s the issue with how they ruled and why is so bad for the industry actually any industry as the CMA can make up any market they want and claim a monopoly and block deals.

You know what’s crazy? Because the CMA’s reasoning is all about MS’s foothold in cloud and ignoring behavioural remedies… PlayStation could make this acquisition. They dropped the SLC theory of harm for consoles.

Like that’s an actual path of logic we could travel simply because MS invested in a novel technology to get ahead - even though the competitive landscape remains to be seen.

[Searsy82]

I vaguely recall that the CAT can flat out overturn the decision, they just tend not to.

[Paxton]

@PsyDec

You know what’s crazy? Because the CMA’s reasoning is all about MS’s foothold in cloud and ignoring behavioural remedies… PlayStation could make this acquisition. They dropped the SLC theory of harm for consoles.

Like that’s an actual path of logic we could travel simply because MS invested in a novel technology to get ahead - even though the competitive landscape remains to be seen.

This would be the biggest trap set up ever, that’s why MS has to appeal regardless of losing or not in EU.

[AtticusFincher]

@howlingmosquito

Moving on means no more acquisitions. Ever.

If this ruling stands which it most likely will since the UK’s appeal process is so shit, any significant IP they try to acquire is going to fail based on this ruling as xCloud’s market share is only going to increase as their first party finally hits it’s stride. Their best way forward is more The Initiative type upstarts to circumvent goofball rulings like this one.

[OD62]

What do you think of Pachter’s idea of ​​not distributing ABK content on Xcloud in the UK to get the deal approved by the CMA? Do you think that Microsoft could opt for this solution?

[Frost]

@AtticusFincher

If this ruling stands which it most likely will since the UK’s appeal process is so shit, any significant IP they try to acquire is going to fail based on this ruling as xCloud’s market share is only going to increase as their first party finally hits it’s stride. Their best way forward is more The Initiative type upstarts to circumvent goofball rulings like this one.

I think buying new start ups would better than creating them or smaller studios like (Platinum, Asobo, etc)

[Cyclonesweep]

@vrg

…With the CMA decision being based on cloud, it seems unlikely that even Amazon, who has Luna and AWS, will be able to buy a major publisher like Ubisoft or EA. I wonder how Amazon’s gaming division is reacting to this news. My personal take on today’s news: It’s not happening, but I would kind of prefer MS to move on at this point. I would take just about any other publisher or group of independent teams over ABK. ABK has a ton of serious issues (toxic workplace, CoD mill, monetization practices, etc.), and since I like Xbox, I would prefer it if Xbox didn’t take on those issues as their own. This isn’t a Bethesda-Xbox situation where I like both companies a lot. Just giving a silver lining to today’s news here.

I disagree. Amazon doesn’t have the alleged “70% market share” that Microsoft does so they would be allowed to

[KakkaKarrotKake]

@AtticusFincher

Their best way forward is more The Initiative type upstarts to circumvent goofball rulings like this one.

Too much risk, takes too long and just a pain in the ass overall, so I dont see MS going this route

I’d say it’s more likely they go the Tencent route and start buying major shares in companies where even if they don’t own the company outright they have a big enough say to make changes

[Jeans]

Think of the children playing on Xcloud !!

[Frost]

@KakkaKarrotKake

Too much risk, takes too long and just a pain in the ass overall, so I dont see MS going this route

I’d say it’s more likely they go the Tencent route and start buying major shares in companies where even if they don’t own the company outright they have a big enough say to make changes

They recently invested billions into OpenAi without acquiring them meaning they didn’t need regulatory approval and they got exclusive rights over their tech.

I could see them doing that for publishers

[OD62]

Yes, studio creation is too long and too laborious. It is more interesting to acquire already existing studios, even if they do not have a strong IP.

[KakkaKarrotKake]

@Frost

They recently invested billions into OpenAi without acquiring them meaning they didn’t need regulatory approval and they got exclusive rights over their tech

Yep

The fact that companies like the CMA block this but would do nothing about MS buying up exclusive CoD rights for the next 10 years if MS was willing to pay for it shows how dumb this shit is

[peter42O]

@OD62

I’m no expert, but I think the CMA wanted to block the deal from the start and just chose the best way to do it by removing PlayStation from the equation. I think if Microsoft wins the appeal, CMA will find another reason to block the deal. It’s a personal view, but I no longer expect ABK to join the Xbox family. The system is corrupt and out of step with market reality.

I agree and feel the same.

[Sparda3g]

Florian Mueller

Can’t escape from what you’re not accustomed to.

[KakkaKarrotKake]

@OD62

I’m no expert, but I think the CMA wanted to block the deal from the start and just chose the best way to do it by removing PlayStation from the equation. I think if Microsoft wins the appeal, CMA will find another reason to block the deal. It’s a personal view, but I no longer expect ABK to join the Xbox family. The system is corrupt and out of step with market reality.

Well if it gets sent back to the CMA they can’t just magic up a new argument, it will have to be cloud related as that’s the only concern they have anymore

and if the CAT says their cloud arguments are a load of bollocks and scraps all of it then I’m not sure how they will have a say from that point on but who knows, only time will tell

[McMasters (Marty McMasters)]

@Frost

I think buying new start ups would better than creating them or smaller studios like (Platinum, Asobo, etc)

Sorry. I think you and your friend there are looking through extremely fogged lenses. Clearly you cant see how irrational that decision is. No offense.