The British regulator blocked the deal between Microsoft and Activision Blizzard. The agency concluded that it harms competition in the cloud gaming market.
According to the regulator’s estimates, Microsoft now controls 60-70% of the global cloud gaming market. Buying Activision Blizzard with its hits like Call of Duty, Overwatch and World of Warcraft will only strengthen the corporation’s position. “Cloud games need a free, competitive market that will stimulate the development of innovation,” the UK Competition and Markets Authority said.
Microsoft said it disagreed with such a decision and would appeal. Activision Blizzard called the regulator’s verdict “a disservice to UK citizens.”