Why can't Microsoft just buy Activision?

The European Commission has objected to Microsoft's buyout of Activision Blizzard, setting another roadblock in the purchase. Following a lawsuit by gamers over monopolizing the gaming market, Microsoft has hit another roadblock in its attempt to buy Activision Blizzard (ABK) for nearly $70 billion.

Why couldn t Microsoft buy Activision?

Effectively, the FTC believes that if Microsoft absorbed Activision Blizzard, their combined powers would allow them to monopolize the games market and hurt potential competitors like Nintendo or Sony in ways they couldn't reasonably compete with.

Will Microsoft be able to buy Activision?

Microsoft first announced its plans to purchase Activision Blizzard in January 2022. The deal has since faced scrutiny by governing bodies in the US, UK, and EU.

What happens if Microsoft buys Activision?

Activision Blizzard own the Call of Duty franchise, one of the biggest in gaming history. If Microsoft's acquisition deal closes, they will own the Call of Duty series, and be able to do whatever they want with it on their Xbox systems going forward. Microsoft could have bought other companies, but it already did.

Is the Microsoft Activision deal finalized?

Microsoft finalizes deal to bring Call of Duty to Nintendo for 10 years. Microsoft has confirmed that it has signed a “binding 10-year legal agreement” to put Call of Duty on Nintendo platforms on “the same day as Xbox, with full feature and content parity.”

What Will Microsoft Do If It Can't Buy Activision?

Will Activision shares convert to Microsoft?

Once ATVI is delisted from the Nasdaq (US100), it means that those who have shares in Activision Blizzard will no longer own stock in the surviving business, as it will be owned by Microsoft.

How long will Microsoft own Activision?

Microsoft's planned acquisition of Activision Blizzard, which is a leading developer and publisher of console, online, and mobile games is expected to be completed in June of 2023.

Does Microsoft own Blizzard yet?

Microsoft announced plans to acquire Activision Blizzard for $68.7 billion in January, with the goal of closing it by June 2023. The deal has come under pressure from Microsoft's competitors in gaming, such as Sony .

Did the Xbox Activision deal go through?

Microsoft's $69 billion deal to buy Activision Blizzard inched closer in a big way on Friday. UK regulators announced a provisional finding that the acquisition wouldn't harm competition, despite previously suggesting the Xbox maker might need to spin-off the Call of Duty business to get the sale approved.

Who is against the Microsoft Activision deal?

The UK's Competition and Markets Authority (CMA) has said it is opposed to Microsoft's planned purchase of games developer Activision Blizzard. The CMA said it had provisionally concluded it would result in higher prices, fewer choices and less innovation.

Why does Sony not want Microsoft to buy Activision?

Sony's Objection to Microsoft's Activision Blizzard Acquisition Explained. Sony isn't too happy about Microsoft acquiring Activision Blizzard, mostly because it could result in Call of Duty becoming a console exclusive.

How much is Microsoft break up fee?

Microsoft's agreement with Activision Blizzard requires it to pay the video game company a breakup fee of up to $3 billion if it can't close the deal before July 18. The timing and trajectory of the case could change depending on how regulators in the U.K. and Europe rule on the merger next year.

Does Xbox own cod now?

Microsoft owning Call of Duty means end of its console-exclusive DLC, Xbox boss says. "That's not the game we're trying to play." Call of Duty will no longer feature console-exclusive DLC content if it is owned by Microsoft, Xbox boss Phil Spencer has said.

Who owns Call of Duty?

Call of Duty is a first-person shooter video game franchise published by Activision. Starting out in 2003, it first focused on games set in World War II. Over time, the series has seen games set in the midst of the Cold War, futuristic worlds, and the modern day.

How much did Xbox pay for cod?

Players can also possibly expect various Xbox-exclusive content to follow the $68.7 billion purchase, much like previous deals catered to PlayStation users. With time those perks will likely be amplified, making Call of Duty a distinctly Xbox-tied experience.

Why is FTC suing Microsoft?

Like regulators in the EU and UK, the FTC is concerned that the deal could stifle competition in the gaming sector. Microsoft's plan to acquire gaming giant Activision Blizzard has a major challenge ahead, as a US regulator is seeking to prevent it.

What price is Microsoft paying for Activision?

Announcement. On January 18, 2022, Microsoft announced its intent to acquire Activision Blizzard for $68.7 billion in an all-cash deal, or approximately $95 per share. Activision Blizzard's stock price jumped nearly 40% that day in pre-market trading.

What will Microsoft do to Blizzard?

On January 18, 2022, Microsoft announced that it planned to buy Activision Blizzard King—the mega-publisher behind games like Call of Duty, World of Warcraft, and Candy Crush—in a deal worth nearly $70 billion.

Who owns Activision before Microsoft?

In 1991 a group of investors led by Bobby Kotick bought the company. Kotick instituted a large restructuring to reduce debt, including renaming the company back to Activision and moving it to Santa Monica, California.

What does Microsoft deal mean for Activision shareholders?

This means shareholders will no longer own stock in the surviving business, which would be a wholly-owned subsidiary of Microsoft. However, shareholders will have the option to convert shares and will be entitled to receive $95 in cash for every Activision Blizzard share they hold.

Will Activision be delisted?

However, as of now the deal is still going ahead and once complete ATVI will be delisted from the Nasdaq (US100). It means that those who have shares in Activision Blizzard will no longer own stock in the surviving business, as it will be owned by Microsoft.

Is Call of Duty leaving PlayStation?

Sony's long-running deal with Activision which saw heavy PlayStation marketing along with new Call of Duty content being released first on its platforms is coming to an end.

Is Nintendo buying Call of Duty?

Microsoft has entered into a commitment to bring the gaming Call of Duty to Nintendo platforms. Microsoft Corp. and Nintendo Co. formalized their agreement to bring Call of Duty to Nintendo platforms for a decade, a move designed to allay fears about the blockbuster game becoming an Xbox exclusive.

Will Microsoft bring Call of Duty to Nintendo?

Call of Duty will be available to Nintendo players on the same day as Xbox with “full feature and content parity” under a 10-year agreement between the two platforms, Microsoft's Brad Smith announced.