Analysts say ‘Microsoft’s Activision deal is not dead’ ahead of planned UK appeal. Wedbush Morgan and Ampere Analysis weigh in on the CMA's decision to block the $69 billion merger of the Xbox and Call of Duty companies
and Call of Duty companies 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”.
In a research note sent to VGC, Pachter said the CMA had thrown “a wrench into the process, but the deal isn’t dead”. He believes Microsoft can win the case on appeal, but even if it doesn’t, he said the Xbox maker could still make concessions that would help clear the deal. “However, we firmly believe that Microsoft is willing to concede maintaining pricing at $15 per month plus inflation, and we believe the CMA will reverse its position if Microsoft makes that offer.”
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