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[Elios83]

I think Microsofts best option is to end this cleanly. Whether it's by dropping the deal or successfully going through the appeal process. If they do anything illegal its going to look extremely bad for them. And potentially endanger any future acquisitions they want to make. Worst case scenario is that they kill off Xbox due to this. Nobody wants to see them eliminated from the market due to their desperation.

Microsoft can't do anything by themselves anyway if it's not agreed with Activision and their shareholders in a contract.

What we're seeing here with certain articles are signs of desperation because they don't see a likely future for this deal past July.
They're making a series of scattered last ditch efforts to see if there is way to close this in the original time frame.
The problem for them is that there isn't.
They can't avoid the appeal process and CMA going back to the case if they want a new judgement.
They can't do idiotic things like going ahead without the UK if they don't re-negotiate the contract with Activision and get shareholders approval.

I think there is a 50:50 chance this is over in July.

 

[poppabk]

Microsoft can't do anything by themselves anyway if it's not agreed with Activision and their shareholders in a contract.

What we're seeing here with certain articles are signs of desperation because they don't see a likely future for this deal past July.
They're making a series of scattered last ditch efforts to see if there is way to close this in the original time frame.
The problem for them is that there isn't.
They can't avoid the appeal process and CMA going back to the case if they want a new judgement.
They can't do idiotic things like going ahead without the UK if they don't re-negotiate the contract with Activision and get shareholders approval.

I think there is a 50:50 chance this is over in July.

The only way I see this passing is if political pressure can move up the CAT hearing and the CAT judge decides that separating cloud and regular gaming is 'irrational'. We still wouldn't have a CMA revised ruling before July, but with those in place Activision and it's shareholders may be willing to extend the deadline.
All that is a massive longshot though.

 

[Topher]

I predicted someone from number 11 will be having a word. Some very naive people thought otherwise.

I don't recall anyone saying "someone from number 11" would not be "having a word" with CMA. I and others pointed out the independence of the CMA. How is stating facts naive?

 

[KungFucius]

In the vote I voted for:
"Yes, will be approved but only with behavioral concessions."

Not because I want this consolidation to happen, just because I thought that the regulatory bodies wouldn't do enough due diligence. Thankfully the CMA seems to actually give a crap about doing it's job (being an independent regulator, and being on the side of not allowing mergers by default). What I don't understand is how anyone can look at a $2 trillion company buying another company for ~$69 billion and think "well that's fine"

At what point do these absurd mergers become "whoa hold-up maybe the regulators should take a serious look at that?" - the Zenimax deal was ridiculous, prior to that Minecraft for $2 billion was obscene - neither should have been approved (in my opinion).

Allowing this kind of massive deal is not in anyone's interest (apart from the very few people who will make a $ profit from it).

If you like gaming as a hobby, or if you work in game dev, or an adjacent field (server hw, middleware etc), then this deal is toxic - same as Nvidia trying to get Arm - these deals should be killed and the regulators should be firm and make it clear that "no you don't go around buying companies to squash competition"

The cheerleaders thinking only about "free games on gamepass" ffs you've been brainwashed by Microsoft

How can you consider 1 game acquisition obscene? Shouldn't it be possible for someone to create something successful and then sell it off and move on? I get it. Billionaires are obscene and have way too much power for just winning at some business, but when you have multi hundred billionaires buying yachts that cost more that all the homes in my childhood school district combined, why shouldn't the little guy be able to make many millions?

 

[Topher]

How can you consider 1 game acquisition obscene? Shouldn't it be possible for someone to create something successful and then sell it off and move on? I get it. Billionaires are obscene and have way too much power for just winning at some business, but when you have multi hundred billionaires buying yachts that cost more that all the homes in my childhood school district combined, why shouldn't the little guy be able to make many millions?

No, this isn't a class warfare thread.

 

[PaintTinJr]

I'm not sure you understand what I'm saying. They come to an independent decision that the government can't challenge or dismiss, nobody disputes that.
However they ARE a government department and they are funded and their overall remit is set by the government. They can be held to account by parliament at a select committee. The Bank Of England is also independent, do you think the chancellor doesn't talk to the Bank of England and give his views because of that? Same with the CMA.

You are (wrongly) conflating government - as in the incumbent party with a majority for uncontentious business - and parliament - all elected UK MPs that actually vote as part of their elected duties.

Something like the CMA - a non-partisan department- has its remit controlled by the later even in times of large government majorities, because there is nothing uncontentious about changing the remit of such a department - unless it is giving them more power to tackle unfair operators.

 

[Bernoulli]

The desperation Microsoft is showing right now for this deal is something I have never seen before from a huge corporation. Did Nvidia go crazy like this and threatened the FTC and send execs to talk to Biden? It's actually embarrassing at this point for such a successful company to do all this.

 

[Topher]

There's doing it anyway then hiring a law firm to say you did what the cma required. Then there's hiring a law firm to say that any fines the CMA imposed were illegal. Then you have courts weighing in and policies voicing any concerns the ruling might have. There's plenty of things that are possible. Microsoft just saying "ok, this is too much trouble" is certainly one of them.

Also known as "legal options" which is exactly what I said. Those options are not infinite regardless.

 

[Lasha]

ABK directors have a duty to the company. They all would be open to be sued if things go tits up. An independent ABK will not leave the UK market.

Leaving the UK market would just mean not having a legal entity there. Activision's games would still be sold through a distributor.

 

[Topher]

ABK directors have a duty to the company. They all would be open to be sued if things go tits up. An independent ABK will not leave the UK market.

I'm not sure ABK not having an entity in the UK solves anything though. Giphy doesn't have a legal entity there either but CMA forced Facebook to divest it.

 

[Three]

but when you have multi hundred billionaires buying yachts that cost more that all the homes in my childhood school district combined, why shouldn't the little guy be able to make many millions?

Is Activison Blizzard King supposed to be "the little guy" or are you being literal and talking about Bobby?

 

[Ansphn]

Microsoft is embarrassing. I wouldn't be surprised if Brad Smith offered the Chancellor a fellatio to get anything to go his way. The way they're Acting is unprecedented for a trillion dollar corporation. I have never seen such desperation out in the public space instead of behind closed doors. This is what Microsoft gets for overusing social media and the media to shine a light on this acquisition.

 

[Elios83]

The only way I see this passing is if political pressure can move up the CAT hearing and the CAT judge decides that separating cloud and regular gaming is 'irrational'. We still wouldn't have a CMA revised ruling before July, but with those in place Activision and it's shareholders may be willing to extend the deadline.
All that is a massive longshot though.

That ship has sailed.
CAT has already established that the court hearings will begin on July 24th. The CAT's verdict will be made in October/November and only if in Microsoft's favour, CMA will go back to the case.
Hence why their legals were so angry/nervous they didn't get what they wanted.

 

[Kilau]

It’s going to be an amazing day when MS and ABK close this deal in the face of the UK.

I hope it’s 4th of July with Phil or Satya in place of Bill Pullman.

Spoiler

I would also accept a WWE style betrayal from Activision taking the bag and running.

 

[Topher]

Saw this posted on era

"The Commission is also amending part 3, 16 CFR part 3, so that administrative law judges presiding over an administrative hearing render a “recommended” decision rather than an “initial” decision. "

FTC Approves Publication of Federal Register Notice on Revisions to Parts 0-4 of the Commission’s Rules of Practice

The Federal Trade Commission voted to modify several sections of the agency’s Rules of Practice to reflect the creation of the FTC’s Office of Technology, revise

www.ftc.gov

https://www.ftc.gov/system/files/ftc_gov/pdf/p072104-amendments-to-part-3-rules-frn.pdf

Goes on to say that the commission will automatically review the "recommended decision" in each case.

It’s going to be an amazing day when MS and ABK close this deal in the face of the UK.

I hope it’s 4th of July with Phil or Satya in place of Bill Pullman.

Spoiler

I would also accept a WWE style betrayal from Activision taking the bag and running.

Or how about that Patriot movie where we had Aussies playing Americans fighting the British.

 

[Edmund]

Satya to his astroturfers and shills.

 

[Kilau]

Saw this posted on era

"The Commission is also amending part 3, 16 CFR part 3, so that administrative law judges presiding over an administrative hearing render a “recommended” decision rather than an “initial” decision. "

FTC Approves Publication of Federal Register Notice on Revisions to Parts 0-4 of the Commission’s Rules of Practice

The Federal Trade Commission voted to modify several sections of the agency’s Rules of Practice to reflect the creation of the FTC’s Office of Technology, revise

www.ftc.gov

https://www.ftc.gov/system/files/ftc_gov/pdf/p072104-amendments-to-part-3-rules-frn.pdf

Goes on to say that the commission will automatically review the "recommended decision" in each case.

Or how about that Patriot movie where we had Aussies playing Americans fighting the British.

Mel was at least born in the US before moving to AU. RIP Heath.

 

[Wulfer]

What will be interesting is the reaction from MS's show on June 11th. These deadlines are too close to that show. I'm sure MS wanted a headline from the show saying "we own ABK now". We honestly won't know if a headline like that was removed or added from the show. You don't think MS would delay a show of this magnitude do you? MS has a lot of moving parts happening right now. This is a big PR time for them and the last thing they want is "MS fails to get ABK talk" around its show. Glad I'm not MS and I don't have to think about they're next move.

 

[LordCBH]

What will be interesting is the reaction from MS's show on June 11th. These deadlines are too close to that show. I'm sure MS wanted a headline from the show saying "we own ABK now". We honestly won't know if a headline like that was removed or added from the show. You don't think MS would delay a show of this magnitude do you? MS has a lot of moving parts happening right now. This is a big PR time for them and the last thing they want is "MS fails to get ABK talk" around its show. Glad I'm not MS and I don't have to think about they're next move.

Considering how thirsty people are for games right now, and how barren MS’s past few years were, delaying this show isn’t an option for them I think. The level of anger from some of their community would be nuts.

Of course, the bootlicking crowd would crow about how good it was it was delayed.

 

[Topher]

What will be interesting is the reaction from MS's show on June 11th. These deadlines are too close to that show. I'm sure MS wanted a headline from the show saying "we own ABK now". We honestly won't know if a headline like that was removed or added from the show. You don't think MS would delay a show of this magnitude do you? MS has a lot of moving parts happening right now. This is a big PR time for them and the last thing they want is "MS fails to get ABK talk" around its show. Glad I'm not MS and I don't have to think about there next move.

At the current stage of acquisition process, I don't see how big announcements would make any difference. I hope not anyway. I want to see a kick ass show. Will be nice to have something other than acquisitions to talk about when it comes to Xbox.

 

[KungFucius]

I am not sure why Phil isn't addressing this first, the reason for the subs plateauing and console sales going down is because the studios Xbox own haven't been making any games.

This is from today's Times newspaper.

I don't see how this merger has any benefits for gamer's other than gamepass gamer's.

This deal is bad for the gaming industry and bad for gamer's.

*I am a gamepass user on Xbox Series X, PS5 (disc) & Switch.

I think the cloud deals benefit gamers, particularly the Nvidia one. As fucked up as it is, Nvidia has to pay publishers for the right to allow gamers to stream games they paid for on Nvidia's service. The MS deal makes sure those gamers get to play all the ABK games they fucking own on a streaming service they pay for. So it benefits gamepass users and GeForce Now users. The rest is a mix. COD will stay on all platforms, but smaller games/ franchises will be exclusive. That is bad for people without access to Xbox, but it also keeps Xbox a viable platform which should have some benefit to PlayStation gamers, as Sony will need to be competitive. Having fewer independent publishers is problematic, but consolidation lowers risk and that could allow for more games that take risks. Its a mixed bag with some intangibles. I am not sure you could even say if it was good or bad if it passed and you had years of data.

Put it this way, when Sony pays for an exclusive I am forced to chose between buying it for PS5 or crossing my fingers and hoping it hits PC soon. If MS does that, I get it day one on the platform I choose. ... Unless it is Diablo because those assholes think it is fine to not include couch co-op on PC. Maybe MS wouldn't let that bullshit fly.

 

[X-Wing]

Microsoft is embarrassing. I wouldn't be surprised if Brad Smith offered the Chancellor a fellatio to get anything to go his way. The way they're Acting is unprecedented for a trillion dollar corporation. I have never seen such desperation out in the public space instead of behind closed doors. This is what Microsoft gets for overusing social media and the media to shine a light on this acquisition.

I blame that on the US. Systemic shameless corruption with private companies funding political parties to the point Microsoft can just have senators do their bidding... No wonder Microsoft thinks they can do whatever they want everywhere else and when someone makes a stand, like the CMA, they throw a tantrum like a spoiled 5 year old.

 

[Topher]

I think the cloud deals benefit gamers, particularly the Nvidia one. As fucked up as it is, Nvidia has to pay publishers for the right to allow gamers to stream games they paid for on Nvidia's service. The MS deal makes sure those gamers get to play all the ABK games they fucking own on a streaming service they pay for. So it benefits gamepass users and GeForce Now users. The rest is a mix. COD will stay on all platforms, but smaller games/ franchises will be exclusive. That is bad for people without access to Xbox, but it also keeps Xbox a viable platform which should have some benefit to PlayStation gamers, as Sony will need to be competitive. Having fewer independent publishers is problematic, but consolidation lowers risk and that could allow for more games that take risks. Its a mixed bag with some intangibles. I am not sure you could even say if it was good or bad if it passed and you had years of data.

That's an optimistic look though. Regulators have to look at it pessimistically as well. So what happens if Phil Spencer retires and some asshole is put in charge at Xbox and after 10 years yanks all the deals back from Nvidia and the other cloud companies and makes Call of Duty exclusive to Xbox? That is a distinct possibility. The end result will be the most popular franchise in gaming belonging to one platform owner rather than an independent company who sees more value in supporting multiple platforms. Microsoft will have the ability to make everything ABK exclusive to Microsoft platforms. That's simply the fact of the matter and if Microsoft sees that as a way to become the dominant player in gaming then I have no doubt they will do exactly that.

Making this out to be a positive for Sony gamers is a reach. Sony becoming "competitive" will probably mean more acquisitions, thus continuing this bullshit cycle of consolidation. I don't get this notion that Xbox isn't a viable platform without ABK. That makes absolutely no sense.

 

[PharaoTutAnchAmun]

The desperation Microsoft is showing right now for this deal is something I have never seen before from a huge corporation. Did Nvidia go crazy like this and threatened the FTC and send execs to talk to Biden? It's actually embarrassing at this point for such a successful company to do all this.

They doing it now they did it in the past, its in MS's DNA

 

[Ar¢tos]

What will be interesting is the reaction from MS's show on June 11th. These deadlines are too close to that show. I'm sure MS wanted a headline from the show saying "we own ABK now". We honestly won't know if a headline like that was removed or added from the show. You don't think MS would delay a show of this magnitude do you? MS has a lot of moving parts happening right now. This is a big PR time for them and the last thing they want is "MS fails to get ABK talk" around its show. Glad I'm not MS and I don't have to think about they're next move.

They could have Phil Spencer dressed in a chicken suit, clucking around and pretending to lay an egg and would be more entertaining than the PlayStation showcase.
So if they are looking for a "win" over Playstation they just need to do what Playstation didn't and show Xbox games.

 

[DeepEnigma]

I blame that on the US. Systemic shameless corruption with private companies funding political parties to the point Microsoft can just have senators do their bidding... No wonder Microsoft thinks they can do whatever they want everywhere else and when someone makes a stand, like the CMA, they throw a tantrum like a spoiled 5 year old.

That and political positions and nepotism with "retiring from politics" to sit high up as CEOs or on the board of directors in "the private sector" has been a quid quo pro corrupt revolving door for decades.

 

[harry mason 1989]

So looks like man city will win the treble this year

 

[Methos#1975]

What will be interesting is the reaction from MS's show on June 11th. These deadlines are too close to that show. I'm sure MS wanted a headline from the show saying "we own ABK now". We honestly won't know if a headline like that was removed or added from the show. You don't think MS would delay a show of this magnitude do you? MS has a lot of moving parts happening right now. This is a big PR time for them and the last thing they want is "MS fails to get ABK talk" around its show. Glad I'm not MS and I don't have to think about they're next move.

The Aquisition would still be held up due to the FTC either way so it's doubtful MS was going to really push it anyway I would think.

 

[Topher]

They could have Phil Spencer dressed in a chicken suit, clucking around and pretending to lay an egg and would be more entertaining than the PlayStation showcase.

 

[IllegalLemon]

More illogical and borderline brain-dead takes for you to lose braincells with every minute spent reading.

It's funny how we went from this, which shows that the CEO of Activision doesn't care or give a shit about the deal anymore. To this, which is basically there to feed the hopium addiction of fanboys who live in an echo chamber.

 

[GHG]

I blame that on the US. Systemic shameless corruption with private companies funding political parties to the point Microsoft can just have senators do their bidding... No wonder Microsoft thinks they can do whatever they want everywhere else and when someone makes a stand, like the CMA, they throw a tantrum like a spoiled 5 year old.

By and large, the US stock market is the country's pension scheme. When you view everything through that lens it all suddenly starts to make sense.

 

[feynoob]

So looks like man city will win the treble this year

Banjo64

Spoiler: GZ

 

[Banjo64]

So looks like man city will win the treble this year

Thinking we even care about a treble.

The goal is multiple trebles and having a season where we win all 6 available trophies.

 

[Unknown Soldier]

The desperation Microsoft is showing right now for this deal is something I have never seen before from a huge corporation. Did Nvidia go crazy like this and threatened the FTC and send execs to talk to Biden? It's actually embarrassing at this point for such a successful company to do all this.

Microsoft is a monopolist. These are standard monopolist tactics. Also MS has been using these tactics literally since the 1990's, no one who has followed MS long term and knows their history is surprised.

 

[Unknown Soldier]

By and large, the US stock market is the country's pension scheme. When you view everything through that lens it all suddenly starts to make sense.

This is because the US has largely replaced fixed benefit pensions like other countries have with 401k's which are tied to the stock market. It saved American corporations a lot of money but is a ticking time bomb, a poorly timed stock market crash now would essentially prevent Boomers from ever retiring. Which is one reason why the US government is also now tied to the stock market, they have to prevent a crash at any costs or risk a mass Boomer old age poverty crisis.

 

[DeepEnigma]

This is because the US has largely replaced fixed benefit pensions like other countries have with 401k's which are tied to the stock market. It saved American corporations a lot of money but is a ticking time bomb, a poorly timed stock market crash now would essentially prevent Boomers from ever retiring. Which is one reason why the US government is also now tied to the stock market, they have to prevent a crash at any costs or risk a mass Boomer old age poverty crisis.

It's almost like a government backed pyramid scheme.

 

[Unknown Soldier]

It's almost like a government backed pyramid scheme.

It literally is. Back in the 1970's and 1980's was when this occurred. The American corporations were desperate to offload defined benefit pensions in any way they could to increase profits. This was the solution the Boomers came up with. In many ways, it's a gun to the head of all Americans and our economy. The stock market WILL go up, OR ELSE NO ONE RETIRES. So now the entire country has to dedicate all it's resources to making the stock market go up, or people will have to work until they die. This is the best outcome Wall Street bankers could have hoped for, they will all get rich OR ELSE.

 

[Thirty7ven]

It's almost like a government backed pyramid scheme.

And why rich shareholders will keep being the only demographic that matters in the US.

 

[feynoob]

Thinking we even care about a treble.

The goal is multiple trebles and having a season where we win all 6 available trophies.

It aint happening cheif. We have the premier league investigation with us to stop you from doing that.

 

[JayDucker]

Thinking we even care about a treble.

The goal is multiple trebles and having a season where we win all 6 available trophies.

7 is there not?

Community Shield, European Super Cup, League Cup, FA Cup, Premier League, Champions League and Club World Cup.

 

[harry mason 1989]

7 is there not?

Community Shield, European Super Cup, League Cup, FA Cup, Premier League, Champions League and Club World Cup.

I hope inter will save us next week

 

[Banjo64]

7 is there not?

Community Shield, European Super Cup, League Cup, FA Cup, Premier League, Champions League and Club World Cup.

7 is the most powerful magical number.

Pep’s 7 Horcruxes.

 

[feynoob]

R reksveks
Is it true that Activision has 12b cash on hands?

Bobby Kotick: Activision Will Be Just Fine If the Microsoft Merger Is Blocked; Company has $12.6 Billion in Cash

Activision's CEO Bobby Kotick says that the company will be fine if the Microsoft merger is blocked as it has $12.6 billion in cash.

mp1st.com

If that is true, they can buy Ubisoft.

 

[Kilau]

 

[reksveks]

R reksveks
Is it true that Activision has 12b cash on hands?

Bobby Kotick: Activision Will Be Just Fine If the Microsoft Merger Is Blocked; Company has $12.6 Billion in Cash

Activision's CEO Bobby Kotick says that the company will be fine if the Microsoft merger is blocked as it has $12.6 billion in cash.

mp1st.com

If that is true, they can buy Ubisoft.

Yeah, people forgot that they had something like 9bn in cash/short term asset when MS announced the deal, the 12bn number seems right.

 

[Three]

If that is true, they can buy Ubisoft.

He was trying to buy Time Warner

Activision Blizzard wanted to acquire Time Warner, says Bobby Kotick | VGC

“We raised all the capital and were ready to go”…

www.videogameschronicle.com

Wanted Hogwarts, Lego, etc.

 

[Jigsaah]

Ok, I'm back, what I miss?

Seeing alot about Microsoft pulling out of the UK. Immediate take: Bad idea. There's people who work in the UK for Microsoft, what happens to them?

 

[X-Wing]

Ok, I'm back, what I miss?

Seeing alot about Microsoft pulling out of the UK. Immediate take: Bad idea. There's people who work in the UK for Microsoft, what happens to them?

Not MS, Activision.
This is just to put the UK government under pressure...
Also exploring options =/= actually putting any of it into practice.

 

[Jigsaah]

Not MS, Activision.
This is just to put the UK government under pressure...
Also exploring options =/= actually putting any of it into practice.

Exploring that options seems...desperate.

 

[demigod]

They are laying the groundwork for a situation where the CAT appeal is successful.

Riky looking bad out here with everyone laugh emojiing him. Where did all your pals go to thumb you up?

Isn’t it funny how you guys want Hunt to take bribes yet were calling out the FTC and CMA for collusion.