Microsoft Appeals Britain's Block on $69 Billion Activision Blizzard Takeover

Microsoft has lodged an appeal in response to Britain’s decision to prohibit its proposed acquisition of Activision Blizzard, the creator of the renowned game franchise “Call of Duty,” valued at $69 billion.

Microsoft has filed an appeal against Britain’s decision to block its $69 billion takeover of Activision Blizzard, citing concerns about competition in the cloud gaming market. The appeal was submitted to the Competition Appeal Tribunal (CAT), while Microsoft also challenges the US Federal Trade Commission’s action against the deal.

Microsoft Appeals UK Regulator’s Decision to Block Activision Blizzard Takeover

Microsoft has filed an appeal against the decision made by Britain’s antitrust regulator, the Competition and Markets Authority (CMA), to block its proposed $69 billion takeover of Activision Blizzard, the renowned maker of “Call of Duty.” According to a spokesperson from Microsoft, the appeal was submitted on Wednesday.

The CMA vetoed the deal in April, expressing concerns about potential competition issues in the nascent cloud gaming market. Microsoft met its deadline for filing the appeal by submitting it to the Competition Appeal Tribunal (CAT), which is responsible for handling appeals against CMA rulings. However, the CAT declined to comment on the matter.

Microsoft’s communications director, Robin Koch, confirmed the submission of the appeal, stating, “We can confirm we have filed our appeal.”

The CMA’s decision to block this significant gaming deal drew strong reactions from both Microsoft and Activision Blizzard. Microsoft criticized the move, asserting that it has undermined confidence in Britain as a favorable destination for technology companies.

Interestingly, the European Union’s competition authorities granted approval for the deal earlier this month, after accepting remedial measures proposed by Microsoft that were similar to those put forward in the UK.

In addition to the appeal in Britain, Microsoft has also challenged the US Federal Trade Commission’s action seeking to block the deal, citing concerns about potential competition suppression.

The CAT will now evaluate the merits of the CMA’s decision, although the appeal does not provide Microsoft with an opportunity to introduce new remedies.