Microsoft has provided new proposals to acquire Activision

Microsoft A new offer for acquisition was presented on Tuesday Activision Blizzard, offered a series of concessions after UK regulators rejected its initial proposal. The US tech giant initially proposed a $69 billion acquisition activation in January 2022, but has since faced regulatory challenges in the US, Europe and the UK.

On Tuesday, the UK Markets and Competition Authority confirmed it had blocked the original deal. However, he indicated it Microsoft y activation They reached a new restructured deal, which the authorities will investigate, with a decision deadline of 18 October.

The Redmond, Wash.-based tech giant hopes the review can be completed before that date, the company’s president said Tuesday. MicrosoftBrad Smith.

In the restructured agreement, Microsoft Do not acquire cloud rights for existing games from you activation inside pc And not for consoles, or new games released by them activation For the next 15 years, according to authorities. Instead, these rights will be transferred to the French video game publisher Ubisoft Entertainment Prior to acquisition activation by MicrosoftAuthorities added.

its action Ubisoft They grew operations in Europe by over 9%. its action activation 1% increased, while Microsoft The U.S. rose less than 1% in early trade. Authorities have been harsh critics of the acquisition, citing concerns that the deal will stifle competition in the nascent cloud gaming market.

Cloud gaming is considered the industry’s next frontier, offering subscription services that allow people to stream games the way they stream movies or shows. Netflix. It may even eliminate the need for expensive consoles, as users will play games pcMobile devices and televisions.

Regulators previously argued that Microsoft Can also carry its key set activationas Call of Dutyand monopolize them Xbox and other platforms Microsoft.

The European Union authority was the first major regulator to approve the deal in May. To overcome that limit, Microsoft Concessions such as providing royalty-free licenses to stream games from cloud gaming platforms activation If a consumer buys them.

The authorities rejected similar measures at the time, as it considered that they would allow Microsoft “Set these market terms for the next ten years.”

In the US, there is a legal battle with the Federal Trade Commission Microsoft Try to stop the acquisition activation. In July, the effort was blocked by a judge FTC To do so, pave the way for the US to continue the deal.

Hours later, British authorities said it was “ready to consider any proposal Microsoft to restructure the transaction” and address regulatory concerns.

New proposals for Microsoft Restructured contract for the United Kingdom and transfer of rights to the cloud Ubisoft Intended to provide the ability to deliver game content from an independent third-party content provider activation All cloud gaming service providers, incl Microsoft.

Ubisoft may license content from activation Under various business models including subscription services.

It will also be required in the contract Microsoft Company offers versions of games on operating systems other than Windows proprietary.

“Microsoft notified a new and restructured contract, which is materially different from what was initially proposed,” Authority CEO Sarah Cardell said in a statement.

“As part of this new agreement, transmission rights to the cloud activation be sold to a competitor outside the European Economic Area, UbisoftWho can license its content activation To any cloud gaming service provider. This will allow players to access the game activation In a variety of ways, including cloud gaming subscription services.”

Cardel stressed that this was not a sign of approval of the deal.

“This is not a green light. We will carefully and objectively analyze the details of the restructured agreement and its impact on competition, even in light of third-party feedback.”

For his part, Microsoft Compensation will be paid for its appointment Ubisoft “An option that supports usage-based pricing, through a one-time payment and market-based wholesale pricing system. Will also give the opportunity to do Ubisoft To offer games Activision Blizzard on cloud gaming services that work with non-Windows operating systems,” Smith said Tuesday.

“We are dedicated to delivering incredible experiences to our players wherever they choose to play,” said Chris Earley, senior vice president of strategic partnerships and business development. Ubisoft on Tuesday. “Today’s agreement will give gamers even more opportunities to access and enjoy some of gaming’s biggest brands.”

Through: CNBC

Editor’s note: Whoah! I doubt that Ubisoft will be the next studio to be absorbed by Microsoft They seem to gain strength.