Microsoft’s proposed acquisition of Activision Blizzard has been blocked by the UK’s Competition and Markets Authority (CMA).
After months of investigation, the regulator published its final report on the $69 billion deal on Wednesday and said it had prevented it over concerns it would “alter the future of the fast-growing cloud gaming market, leading to reduced innovation and less choice for UK gamers over the years to come.”
The decision is the most significant yet in Microsoft’s battle to get the acquisition over the line. The UK regulator is seen as one of the most influential in deciding the deal’s fate, alongside the EU and the US.
In the US, the Federal Trade Commission is suing Microsoft in a bid to block the deal over competition concerns. The EU is still investigating.
Microsoft has confirmed it will appeal the CMA’s decision.
The UK regulator wrote: “The CMA has prevented Microsoft’s proposed purchase of Activision over concerns the deal would alter the future of the fast-growing cloud gaming market, leading to reduced innovation and less choice for UK gamers over the years to come.
