As part of its Phase 2 investigation on the Microsoft-Activision Blizzard deal, the UK Competition and Markets Authority (CMA) asked the public about their thoughts about the Merger. The results pointed towards a favorable response.
The UK's CMA is one of the parties who are not sure about Microsoft's Merger with Activision Blizzard. They've already expressed their concerns, and are currently continuing their investigation on the matter. Other than investigating the parties involved, they also reached out to the public for their thoughts. Back on October 14, 2022, they published a statement on their case page about the ongoing merger. They then asked for responses from the public regarding the said statement. They gave the public two weeks, or until October 28, 2022, to email their thoughts. The CMA received over 2,100 emails about the matter.
After going through the emails, the CMA summarized what their respondents felt. The CMA discovered that around three quarters, or 75%, were broadly in favor of the Merger. Around a quarter, or 25%, were against the Merger. They also mentioned that a small part of the respondents did not have clear views. Below are some of the responses they received from those in favor of the Merger:
- It is unlikely that Microsoft would make Call of Duty exclusive due to its multiplayer nature. Making Call of Duty exclusive to Xbox would only create a gap in the market that could be filled by a rival cross-platform shooter game
- Sony and Nintendo are stronger than Microsoft in console gaming, and the Merger will help Microsoft to compete more closely against them
- The Merger is a reaction to Sony’s business model for PlayStation, which has historically involved securing exclusive content or early access to popular cross-platform gaming franchises, such as Final Fantasy and Silent Hill
- Call of Duty has competition from a number of other games including Battlefield (Electronic Arts), Grand Theft Auto (Take Two) and FIFA (Electronic Arts)
- The Merger will push Sony to innovate, such as by improving its subscription service or creating more games to compete with Call of Duty
What's interesting is that some of these points were ones that Microsoft itself already brought up. For example, the idea of game exclusivity and innovation is one Microsoft actually used to counter the CMA's claims. The exclusivity of Call of Duty, on the other hand, was something that would not happen according to Phil Spencer.
Of course, as mentioned above, not everyone approves of the merger.
- The Merger will lead to an increase in Microsoft’s bargaining power in relation to game publishers
- Microsoft has the resources to create an offering that competes with PlayStation exclusives without acquiring Activision
- The Merger will raise barriers to entry for smaller studios and independent developers
Of course, these are valid worries. This merger is one of the biggest to happen in modern times, so concerns will definitely pop up. However, Microsoft has time and time again shown its intention of keeping its promises. They've already mentioned that the merger was for mobile games, not Call of Duty. Not only that, but they have also partnered up with Nintendo and Steam for game releases.
Despite all this, it is still quite possible that Microsoft will pull a fast one and do everything it said it won't do. However, we won't know until at least August next year, when the FTC hearing will take place.
That's all the information we have about the public's thoughts on the Microsoft – Activision Blizzard deal. For more updates on gaming, you can check out our gaming news articles.
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