Microsoft is buying Activision Blizzard for $68.7 billion [FTC sues to stop - CMA issues updated preliminary findings]

[Rozalia1]

https://www.gov.uk/cma-cases/microsoft-slash-activision-blizzard-merger-inquiry#full-publication-update-history

 

The CMA posted responses to the provisional findings. Once again we got another case where they also publish a bunch of third parties comments and they're all basically positive towards Microsoft. First time that happened it allowed Microsoft to PR the idea that basically everyone in gaming was on their side, which later was shown to be false when out of the bigger companies more than less were against the deal, though many were neutral to it. I expect in this case no one against the deal saw the need to badger the CMA and Sony hasn't been running a PR campaign and so didn't try and pressure anyone to aid them. Microsoft meanwhile contacted companies and got them to send in stuff in their favour. Them doing the same thing with the union letters to regulators further supports them being behind this.

 

Thankfully like with the 1st batch of these things, the CMA appears aware this is more a result of Microsoft getting people to do it then some genuine belief that is so strong that they must simply defend Microsoft's honour. Actually looking at the responses is quite something and I'll sum them up.

 

A is open that they're 4J Studios. Basically a Microsoft studio but for whatever reason Microsoft has seen fit to buy them yet. State that Microsoft are cool guys and with Gaming getting so big companies like Microsoft need to be allowed to buy up companies to compete (???). Microsoft also has never pressured them to favour Microsoft and in fact encouraged them to make stuff for Nintendo... I'd call that a lie but considering Xbox management its believable I suppose.

 

B is anonymous. Different sort of customers exist and some of them don't care for the likes of CoD. So really no game is "must have". As such Microsoft should have CoD.

 

C is anonymous. Consolidation they say is inevitable so may as well just let Microsoft have this. Also if red white and blue Microsoft doesn't purchase Activision then that'll mean those damn communists Tencent will! Would you be happy for those reds to have Activision? Because... regulators apparently can't stop Tencent if it tries to acquire Activision?

 

D is anonymous. Agrees that its hard to tell what'll happen in the future in gaming if this deal goes through. Doesn't see any threat to their own company if it does though. 

 

E is anonymous but likely to be "No More Robots" as what is here they've basically already said openly. Attacks Sony for not being as good for Indies discoverability (has improved lately but could still be much better of course) while Microsoft is better with Gamepass being a mentioned reason for that. They say their own business is better/just as good on Xbox even though there are less of them. As such by their logic if Microsoft gets stronger due to this deal then it'll in turn be better for Indies (except we have evidence that when Microsoft feels strong they go back on these things). Also PlayStation needs to be cut down to size... certainly sounds like an unbiased person.

 

F is anonymous. Says that Sony has exaggerated their arguments and in essence regulators are being tricked by them to carry out their will. Says that Activision is run by bad people and Microsoft are better people so put the deal through.

Edited March 16, 2023 by Rozalia1

[MidnightDragon]

Seems like bribery will get you anything, including false positives.

[Rozalia1]

Microsoft submitted their remedies to the EU who now has expanded the deadline so they can consider these new concessions. Many in the Microsoft camp are firm believers that the EU will be passing it... but considering both the FTC and CMA had positive talk about them being all good before they threw a wrench into Microsoft's plans... I'd caution anyone being confident in what the EU decides. Its very possible that the EU looks at Microsoft's remedies, considers them the jokes that they are, and tells Microsoft that they aren't good enough. EU is more open to discussion than the CMA and especially the FTC, but it could just be a matter of principle and they're going to reject it.

 

Whatever the case we'll know before they'll make their decision because considering Microsoft's pathetic attacks on the FTC (unamerican, shouldn't exist) and on the CMA (calling them manipulated by the FTC, ignorant, and the racebaiting), they should do some manner of attack on the EU before the decision comes out.

 

The CMA is still of course the main problem for Microsoft, who according to the most recent report still believes that getting things done with the EU would pressure the CMA to pass it too. Problem being of course that such pressure is nonsense. Going counter to the EU if anything would be a point of pride in the UK, not a negative, and unlike the FTC who can be starved of money if they don't play ball as the corporates want via their stooges in politics, the CMA is basically untouchable in that regard.

[MidnightDragon]

Not sure if the delay is good or bad. Know it’s worse for MS the longer this goes on.

[Rozalia1]

Nothing new has come out in regards to the regulators but due to the nature of documents that come out being long and Microsoft's PR machine being able to fire all of the first shots and gaming journalists generally being terrible (much of Microsoft's PR can be destroyed in the very same documents they point stuff out in if the journalists actually went over the documents), stuff in these documents even though revealed a good while ago only starts getting seen by the masses now.

 

Within the documents was talk from Microsoft from Microsoft that they offer 10 years to Sony, which is enough time for Sony to make their own CoD. Why would Sony need to make their own CoD if they have CoD? The obvious answer is because Microsoft has only ever intended to keep CoD as long as required for this deal to pass (at first just the 2 years Sony had contracted already, then 3 on top, now the 10 years) and then were going to pull it. Any talk of "but we'd lose so much money so we wouldn't do that" is irrelevant. Microsoft has bled massive money on Xbox for a very long time. They aren't going to balk at losing a bit more especially if the idea is it'll finally move the needle against Sony. Heck, losing large amounts of money while destroying the opposition is part of Microsoft's DNA you could say. As for Minecraft. As I've said, while the documents are naturally hidden away by Microsoft I have zero doubt that Mojang as a part of being acquired required Microsoft to keep releasing Minecraft elsewhere.

 

Redfall being developed for the PS5 until Microsoft bought the company and cancelled it has also come up... which I thought had already come out but it must have been Starfield? In any case, not exactly good timing for such statements to be getting made. Credit to his honesty? Maybe, but it's likely he is just fitting in at Xbox. Microsoft management just can't help but open its mouth and say stupid and damaging things after all. Maybe he learnt it from Brad Smith, the master. Its silly that anyone even needs to confirm it of course as logically why would Bethesda be randomly be making an Xbox exclusive when all their other games were multiplatform, but Microsoft's supporters do play that dishonest game where if it ain't 100% proven, even though everyone knows it was the case, then its simply false. Of course having it proven doesn't matter because the next step is to respond with "Well Sony does it". Key difference between what Sony and Microsoft do. Sony cuts these business deals and doesn't lie about them. Microsoft does them and lies. Spencer, a prolific liar will do these deals while saying that isn't what they do and at the same time smearing Sony for doing them. I have no issue with Microsoft doing those deals, good for them, that is what they should be doing (though needs better management to get actual good deals), but all of the lying is just low.

Anyway, this sort of lying is why regulators like the FTC doesn't trust Microsoft and hopefully neither is the CMA (EU knows better also, but they love their money from fines). You cannot trust Microsoft is telling the truth and there is plenty within this very deal itself, let alone the past, that shows that.

[SnowxSakura]

39 minutes ago, Rozalia1 said:

Nothing new has come out in regards to the regulators but due to the nature of documents that come out being long and Microsoft's PR machine being able to fire all of the first shots and gaming journalists generally being terrible (much of Microsoft's PR can be destroyed in the very same documents they point stuff out in if the journalists actually went over the documents), stuff in these documents even though revealed a good while ago only starts getting seen by the masses now.

 

Within the documents was talk from Microsoft from Microsoft that they offer 10 years to Sony, which is enough time for Sony to make their own CoD. Why would Sony need to make their own CoD if they have CoD? The obvious answer is because Microsoft has only ever intended to keep CoD as long as required for this deal to pass (at first just the 2 years Sony had contracted already, then 3 on top, now the 10 years) and then were going to pull it. Any talk of "but we'd lose so much money so we wouldn't do that" is irrelevant. Microsoft has bled massive money on Xbox for a very long time. They aren't going to balk at losing a bit more especially if the idea is it'll finally move the needle against Sony. Heck, losing large amounts of money while destroying the opposition is part of Microsoft's DNA you could say. As for Minecraft. As I've said, while the documents are naturally hidden away by Microsoft I have zero doubt that Mojang as a part of being acquired required Microsoft to keep releasing Minecraft elsewhere.

 

Redfall being developed for the PS5 until Microsoft bought the company and cancelled it has also come up... which I thought had already come out but it must have been Starfield? In any case, not exactly good timing for such statements to be getting made. Credit to his honesty? Maybe, but it's likely he is just fitting in at Xbox. Microsoft management just can't help but open its mouth and say stupid and damaging things after all. Maybe he learnt it from Brad Smith, the master. Its silly that anyone even needs to confirm it of course as logically why would Bethesda be randomly be making an Xbox exclusive when all their other games were multiplatform, but Microsoft's supporters do play that dishonest game where if it ain't 100% proven, even though everyone knows it was the case, then its simply false. Of course having it proven doesn't matter because the next step is to respond with "Well Sony does it". Key difference between what Sony and Microsoft do. Sony cuts these business deals and doesn't lie about them. Microsoft does them and lies. Spencer, a prolific liar will do these deals while saying that isn't what they do and at the same time smearing Sony for doing them. I have no issue with Microsoft doing those deals, good for them, that is what they should be doing (though needs better management to get actual good deals), but all of the lying is just low.

Anyway, this sort of lying is why regulators like the FTC doesn't trust Microsoft and hopefully neither is the CMA (EU knows better also, but they love their money from fines). You cannot trust Microsoft is telling the truth and there is plenty within this very deal itself, let alone the past, that shows that.

Be interesting to see if Sony turns microsoft's own words against them. They've had more than 10 years to make their own call of duty, why haven't they made one either? All they had to do was not shit all over the halo franchise after bungie left, and they couldn't even handle that much

[majob]

Microsoft is getting a Washington lapdog to shill for them now and it's backfiring with hilarious results since it seems she forgot her campaign donations are public information

 

 

 

Edited March 24, 2023 by majob

[Zephrese]

Seems like Microsoft's absolutely dogshit and moronic management of Xbox extends outwards to their PR stooges, journalist shills, and political puppets. Great job Microsoft! /s

[oswald41]

I'm not really following any of this because I don't care but I have seen I think it's started yesterday arkane said once Microsoft bought them they said to stop redfall on playstation has that been brought up since that Microsoft guy said they didn't buy them to take away games or something?

[Apollo]

43 minutes ago, oswald41 said:

I'm not really following any of this because I don't care but I have seen I think it's started yesterday arkane said once Microsoft bought them they said to stop redfall on playstation has that been brought up since that Microsoft guy said they didn't buy them to take away games or something?

It is no shocker that Phil lied between his teeth about not taking stuff away, correct. Suits are all the same.

 

I'll edit it in when I find it, but its also making the rounds that a representative lobbying for Microsoft and this deal has Microsoft as their top contributor.

 

Maria Cantwell, Senator of Washington.

 

 

 

Edited March 24, 2023 by Apollo

[RadiantFlamberge]

Well, something bad was sure to come of this. Now we see it. Taking Redfall and Starfield away from PS5 was in their plans all along. And I'm sure Doom 6 will be another Xbox exclusive.

I think Maria Cantwell accepting money from Microsoft is reprehensible. Lobbying is like bribery to me. Legal? Yes. Ethical? No.

[ZachBoardyHD]

I just don't get the whole exclusive titles thing. So if PlayStation or Xbox has an exclusive game, do they really think you'd buy their console just to play that game. Games should be for every console that's in generation regardless.

Throwback to when Rise of the Tomb Raider became an Xbox Exclusive game for one year before releasing for PlayStation... I just waited the year and not forking out a lot of money for a console just to play it ?

[MidnightDragon]

Looks like UK is going to say yes after all.

 

https://www.pushsquare.com/news/2023/03/uk-regulator-no-longer-concerned-about-activision-buyouts-impact-on-console-competition

 

Am I surprised? Not really. Still disappointing they let MS pull the wool over their eyes over their blatant PR stunts, but really figured the final outcome was never in doubt.

[Rozalia1]

On 23/03/2023 at 2:29 AM, SnowxSakura said:

Be interesting to see if Sony turns microsoft's own words against them. They've had more than 10 years to make their own call of duty, why haven't they made one either? All they had to do was not shit all over the halo franchise after bungie left, and they couldn't even handle that much

 

Sony has only responded to Microsoft's stuff in responses to regulators. That stuff was in the most recent one so for Sony to respond, unless they do it publicly like Microsoft does everything, there would need to be another chance to respond officially to the regulator. As far as I'm aware there isn't really such a chance.

---

 

As for the Maria Cantwell stuff. The donations do have an effect as you don't want to piss off people giving you money, but what is actually getting her talking like that is lobbying, possibly someone who donated of which Brad Smith himself is one of them, fed her those lines that she is now rattling off. Its all part of the racebaiting argument and I find it interesting that Microsoft has gone from 4% in the Japanese market to 2% in the span of a week apparently. Something to note was an article came out the day before that this Cantwell is likely going off which was so stupid I actually thought against posting here as it'd just be me mocking it... but I shouldn't have second guessed myself as Microsoft has done this tactic before.

 

Could go into the details about how wrong and obviously corrupt that stuff is, but big news has dropped that makes going into that have little point. 

 

https://www.gov.uk/government/news/cma-narrows-scope-of-concerns-in-microsoft-activision-review

https://assets.publishing.service.gov.uk/media/641d6b7e32a8e0000cfa9381/Updated_version_-_Microsoft_Activision_Addendum_PFs__For_Publication_230324_.pdf

 

The CMA has done a shocking 180 it seems and upended things again (contacting a moderator to change the title again). Unlike Microsoft supporters who maintained Microsoft's high chances after the last CMA report I'm not going to be delusional on this. This latest turn has turned Microsoft's to me 10% chance of getting through into a 90% chance. For the EU and CMA there is just the cloud concerns now which is what the 10 year deals are for, so the chances of them getting stopped is low on that. Post that it would leave only the FTC who may try to fight them further (always the chance they just give up of course), but with the corruption pro-business sentiment that exists in America it would be a miracle if the court sided with the FTC against Microsoft.

 

Its all very disheartening for many I know. This getting through opens the door to companies, most being the large American tech companies, buying up company after company in a market they should have no right to owning, but at the end of the day that is how things work under the type of capitalism that rules the west. I commend those at the FTC trying to fight back, but corruption is so difficult to defeat. If you're someone who primarily buys Japanese games then thankfully Japan should be safe, but if you're someone into western games then do prepare yourself for the high likelihood of your favourite companies/games to be under new management. Perhaps it'll even be Microsoft because as I've said previously, if they can get this through on the basic grounds that they won't be a monopoly after it clears (the new FTC argues against this view as it has been abused again and again by big companies to crush others) then nothing stops Microsoft from buying up the other big western publishers one after another. They won't be a monopoly even if they buy all of them and if Sony were to in the next generation fall apart against Microsoft then oh well who could have seen that coming and all that, regulators should have stopped all those buyouts after all but what is done is done. It's a scam, but that is life.

 

For some positive reinforcement. Lets remember that Nintendo exists and is successful even though they're largely shut out of these things. Now granted, Nintendo is the greatest video game company on the planet (significantly above 2/3/4/5 while Microsoft is so underground they don't even exist in the same reality) so not just anybody can do what Nintendo does but Sony might be able to if worse comes to worse and if they have to compete with full power monopoly seeking Microsoft. We also have to remember that Microsoft has failed at every single goal they've set in gaming. As many have said, they're not a creative company and their management in gaming are stacked with incompetents who due to the old boys network in Microsoft are largely safe from losing their positions. It's very much possible that no matter how much money Microsoft throws at gaming they continue to be unable to succeed and assets they pick up like CoD only get degraded as time goes on.

[Lord_Bane999]

10 hours ago, RadiantFlamberge said:

Well, something bad was sure to come of this. Now we see it. Taking Redfall and Starfield away from PS5 was in their plans all along. And I'm sure Doom 6 will be another Xbox exclusive.

I think Maria Cantwell accepting money from Microsoft is reprehensible. Lobbying is like bribery to me. Legal? Yes. Ethical? No.

Honestly I was talking with a friend about this the other day and I believe Doom and CoD could be set up as replacements in Microsoft/Xbox for Gears of War and Halo respectively which have seen lower promise last few games compared to their original trilogies. Wether it being active multiplayer participants dropping for games they feel have better gameplay and updates. Or the fact they can't properly monetize or incentivize players to stay with these titles. Both of these series fit a similar demographic as the latter and couple be potential replacements for them as their exclusives.

[Zephrese]

Nice, I see that the CMA finally received a bribe from Microsoft that was to their liking. ? Really disheartening to see so many people celebrating this, but I'm not surprised by that or this outcome in the slightest. Just goes to show that a cancerous and completely corrupt corporate 1984-esque dystopia is closer than we think, especially since people seem so willing to roll over for billion dollar companies without hesitation for various strange or inane reasons. Don't have a lot of hope for this industry anymore, and this has cemented that sentiment further, so at this point I kind of wish we'd hit another crash already. lol

Edited March 24, 2023 by Zephrese

[JPtheNeurotic]

I don’t think I have much to add other than this sucks .

[jgm4789]

Yeah, it isn't the fact that its buying activision that bothers me but the fact that they intend to buy up more companies that concerns me as who knows what they will aquire next. Microsoft was already way too big before even buying bethesda and buying activision is just even more yikes. They could potentially even try to buy valve or epic, two companies that are far more influential in the grand scheme then activision could ever hope to be. Buying epic especially would damage the industry far more then buying ea or ubisoft would as that would mean they control the unreal engine and with so many games using that tech microsoft would own 70% of the industry overnight.

[Lance_87]

27 minutes ago, jgm4789 said:

Yeah, it isn't the fact that its buying activision that bothers me but the fact that they intend to buy up more companies that concerns me as who knows what they will aquire next. Microsoft was already way too big before even buying bethesda and buying activision is just even more yikes. They could potentially even try to buy valve or epic, two companies that are far more influential in the grand scheme then activision could ever hope to be. Buying epic especially would damage the industry far more then buying ea or ubisoft would as that would mean they control the unreal engine and with so many games using that tech microsoft would own 70% of the industry overnight.

 

Don't worry, it will take ages until the next big acquisition.

[majob]

14 minutes ago, Lance_87 said:

 

Don't worry, it will take ages until the next big acquisition.

Microsoft bought Activision barely a year after Zenimax. They're not going to be putting on the breaks simply because ABK took more effort to close

 

Edit: I want people to remember that the Zenimax deal was also the largest deal in gaming until microsoft bought ABK. Microsoft is also no stranger to simply  paying anti trust fees when they actually do get punished in those rare instances the government actually does its job.  I'm more than willing to bet next year they'll acquire another publisher

Edited March 24, 2023 by majob

[AJ_-_808]

10 minutes ago, majob said:

 I'm more than willing to bet next year they'll acquire another publisher

And thus begins the wave of acquisitions on both sides.  Sony is going to have to try to get some multiplatform publishers instead of small homegrown ones just so MS can't buy everything and make it all exclusive.

[D-E-U-S-X]

We can all learn from Microsoft - Do you want success? Buy success!

The same goes for talent and popularity.

[TJ_Solo]

1 hour ago, majob said:

Microsoft bought Activision barely a year after Zenimax. They're not going to be putting on the breaks simply because ABK took more effort to close

 

Edit: I want people to remember that the Zenimax deal was also the largest deal in gaming until microsoft bought ABK. Microsoft is also no stranger to simply  paying anti trust fees when they actually do get punished in those rare instances the government actually does its job.  I'm more than willing to bet next year they'll acquire another publisher

 

But when will it stop? It isn't as if the regulators will say "we accepted the last merger, so all your future ones are okay too".

People say the floodgates will open as if this is a precedent setting court decision when it really is just the decision of one case not all future cases.

[Helyx]

17 hours ago, ZachBoardyHD said:

So if PlayStation or Xbox has an exclusive game, do they really think you'd buy their console just to play that game.

 

I was eventually going to buy a PS5 (original plan was 2024), but Demon's Souls persuaded me to grab the console at launch.

 

1 hour ago, AJ_-_808 said:

Sony is going to have to try to get some multiplatform publishers instead of small homegrown ones just so MS can't buy everything and make it all exclusive.

 

Sony is going to purchase FromSoft, Rockstar and get an exclusive 10 year contract with Epic.

[Mellenthin]

31 minutes ago, Helyx said:

Sony is going to purchase FromSoft, Rockstar and get an exclusive 10 year contract with Epic.

 

If one would argue there never has been a console war, I think we're getting there now.?