Where does the Microsoft deal to buy Activision Blizzard go? What happens next? And when will the process be completed?

After in January 2022, the company announced the acquisition of Activision Blizzard for a total price of 68.7 billion or about 2,272.4 billion Thai baht.

Following this acquisition, Microsoft will own all of Activision Blizzard’s assets and game IPs, including Call of Duty, Warcraft, Diablo, Overwatch, and even Candy Crush, and over 10,000 employees across the entire family. Microsoft is now the third largest gaming company in the world after Tencent and Sony.

Based on parent company earnings in 2021 data.

Sony’s gaming business revenue is $200 billion.

Tencent’s gaming business revenue is $130 billion.

Activision Blizzard’s gaming business revenue of $8 billion.

Microsoft’s gaming business revenue is $350 million.

It is a deal or purchase that surprises the whole industry. It has a broad impact and has been talked about over the past several months.

In a statement announcing the acquisition, Microsoft CEO Satya Nadella said it was an investment in the metaverse sector, an important future in the IT industry. Overall, this purchase will give Microsoft a better position to compete with other gaming companies in the market.

Of course, after the purchase is followed by a lot of drama, a deal like this can be achieved before it must be investigated. Those involved also flocked to investigate.

Then why Microsoft will buy ABK must be approved ?

Because this level of deal is a deal that affects the entire gaming market. Will be small, big, indie camp, giant team and then the consumer The stakeholders must ensure that there is no monopoly on the market.

The acquisition is actually being investigated all over the world, but Microsoft essentially needs approval from three major organisations: 1. FTC, US Trade Commission. which now the investigation has passed the first phase And it is entering the second phase. 2. CMA, the UK competition regulator. This investigation is in the early stages and will end at the beginning of September. 3. The European Commission, the European Commission, which the investigation of this side has not yet started.

How is the investigation process?

The first will be a collection of questions sent out to ask for opinions from Microsoft’s competitors in the video game business. The content of the questions will be related to the competition. monopoly The development of the game industry as a whole in the future Or what will happen if Microsoft successfully acquires Activision Blizzard?

If a small business merger In most cases, if the agreement is reached at the outset, they will be approved for an acquisition or merger. But when it’s a big venture, it’s the second step later. The second step will be to do research. There is a storage area To ascertain the real numerical impact of what would happen if Microsoft successfully bought Activision Blizzard.

Now what will happen? If one of these three organizations does not approve of this acquisition It must be said that these three organizations are very important because All three have the power to block the upcoming trades. It may even cause the deal to be cancelled. Or there may be some restrictions in the contract to allow trading.

For example, limitations include Microsoft may have to confirm that Acitivision Blizzard games will continue to be released to other consoles, or Microsoft must promise Acitivision Blizzard the power to manage itself. The increased limitations can take many forms.

However, during the past August 1 The story of the acquisition is back in big news as documents from the Brazilian Economic Protection Board have been released. The content is very interesting.

At its core, however, is Sony’s dissatisfaction with the upcoming acquisition, with Sony citing two big reasons: Call of Duty is a very big game in the game. The market and affect the gaming industry if it is tied to one side, and Microsoft’s Game Pass system is likely to enter a monopoly in the future.

Recently, Microsoft has responded by confirming that Call of Duty will continue to be available to all devices. And this family of titles isn’t as big as it gets. In the end, Call of Duty has to compete with players from other games on the market, with labels like Epic and Nintendo standing out of Call of Duty.

As for the Game Pass issue, Microsoft said that Sony felt threatened because Game Pass added a new value to its customers. Unlike the traditional buyout business model that Sony has been successful in, or to put it simply, Sony knows it can’t compete with it and is trying to avoid the streaming battle.

And Sony has always used Exclusive games as its main business model. Buy games and go exclusive, do exclusive marketing or DLC Exclusive, until there is an attack that Sony invests in blocking Gamepass to the point of paying game camps to not make games or content to go to Gamepass and other Streaming companies named censored

Call Of Duty Modern Warfare 2 (2)

Conclusion

The acquisition is currently being investigated by organizations and stakeholders in various countries around the world, which could take several months. And it’s an important moment, the decisive moment in the global giant deal of the gaming industry.

Microsoft itself is evaluating that the acquisition should be completed. Successfully closed in the middle of 2023, Xbox fans will continue to watch before now.

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