The video game company Activision Blizzard has been pronounced this Friday, after almost a year since the announcement of its purchase by Microsoft, calling the accusations “absurd” that the transaction may have anti-competitive effects.
The purchase, which was announced in January by $68.7 billion,has been criticized by companies in the sector such as Sony, which point out that this acquisition could jeopardize the maintenance of games published by Activision Blizzard a PlayStation.
In this sense, before the possibility of that the action of the Xbox console manufacturer may initiate a monopoly,the purchase agreement is being under study by the competent organizations several countries, including Saudi Arabia, Brazil, the United Kingdom, the United States and the European Union.
In this situation, Activision Blizzard’s Chief Commercial Officer and Vice President of Corporate Affairs, Lulu Cheng Meservey, has taken part in the discussion to label as “absurd” criticisms, and has insisted that this merger “will benefit players and the US gaming industry,” especially when they face tougher competition abroad, he added.
Seeing a lot of speculation about Microsoft’s acquisition of Activision Blizzard.
Any suggestion that the transaction could have anticompetitive effects is absurd.
This merger will benefit gamers and the US gaming industry — especially as we face stiffer competition from abroad.— Lulu Cheng Meservey (@lulumeservey) November 24, 2022
Besides, the game developer, which has franchises as famous as Call Of Duty,has expressed his determination for “continue to work cooperatively” with regulators around the world so as not to hinder the transaction and expedite the process. However, also has asserted what they will not hesitate to “fight to defend the transaction if necessary.”
This intervention by Lulu Cheng Meservey has occurred following the announcement by the US Federal Trade Commission (FTC) about what is considering filing an antitrust lawsuit to block the purchase. In addition, according to sources close to the Commission, the commissioners are skeptical of the arguments provided by the companies involved to formalize or not the purchase agreement and plan to meet with the lawyers of both companies soon.
Thus, the purchase agreement could be jeopardized or, at least, delayed until the investigations are concluded. Which Microsoft wants to avoid because intend to close the acquisition before the end of the current fiscal yearthat is, in June 2023.
For its part, the United Kingdom is analyzing all the documentation of the developer’s purchase. So is the European Commission (EC), which launched an investigation into this deal earlier this month because Microsoft failed to submit the necessary documentation to demonstrate that it will not exercise a monopoly before the competent authorities.