Microsoft’s $69 Billion Deal Tripped Up by Niche Gaming Market
- Analysts question UK’s logic in opposing Activision takeover
- UK regulators act to protect future growth of emerging segment
A Microsoft Xbox One video game controller.
Photographer: Michael Ciaglo/BloombergThis article is for subscribers only.
UK regulators blocked Microsoft Corp.’s $69 billion purchase of Activision Blizzard Inc. over concerns it would harm competition in cloud gaming, a small but growing segment of the industry.
Analysts expressed surprise Wednesday that UK regulators would move to thwart a deal in a nascent field where companies are still finding their footing. Cloud gaming is dwarfed by the larger console-based business.