Microsoft's Activision Deal Challenged by UK in Fresh Blow

Microsoft's Activision Deal Challenged by UK in Fresh Blow

Assessment

Interactive Video

Business

University

Hard

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The UK is concerned that Microsoft's acquisition of Activision Blizzard could harm competition, especially affecting competitors like Sony. The CMA suggested Activision Blizzard might need to divest from Call of Duty, a major revenue source. Activision Blizzard is not pleased with this suggestion. CEO Bobby Kotick is trying to normalize the situation, highlighting competition from tech giants like Apple and Facebook. Despite industry challenges, Activision's earnings were buoyed by Call of Duty's success. Regulatory challenges remain, with the US FTC also suing to block the deal. The CMA's final ruling is expected in April, with a potential appeal from Microsoft.

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5 questions

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1.

OPEN ENDED QUESTION

3 mins • 1 pt

What concerns does the UK have regarding Microsoft's acquisition of Activision Blizzard?

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2.

OPEN ENDED QUESTION

3 mins • 1 pt

What potential remedy did the CMA suggest regarding Activision Blizzard's games?

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3.

OPEN ENDED QUESTION

3 mins • 1 pt

How did Activision Blizzard perform financially during the last earnings season?

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4.

OPEN ENDED QUESTION

3 mins • 1 pt

What is the significance of Call of Duty for Activision Blizzard's revenue?

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5.

OPEN ENDED QUESTION

3 mins • 1 pt

What are the implications of the US Federal Trade Commission's actions regarding the acquisition?

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