Microsoft president slams CMA decision to block Activision Blizzard takeover

Microsoft president Brad Smith has further criticised the Competition and Markets Authority following the regulator’s decision to block Microsoft’s acquisition of Activision Blizzard.In a shock move, the Competition and Markets Authority (CMA) recently denied Microsoft from acquiring Activision Blizzard for $69 billion due to concerns over the cloud gaming market. Now, Microsoft president Brad Smith has hit out at the regulator over yesterday’s decision, calling it Microsoft’s “darkest day” in four decades of trading in the UK. CMA Activision Blizzard decision marked Microsoft’s “darkest day” in the UKSpeaking with the BBC, Smith said, “I think it’s bad for Britain. The business community, the investment community and the technology sector around the world have been following this case, and the strong message the CMA has sent is not just a surprise to everyone who fully expected this acquisition to be approved, but this sends a message that I think will discourage innovation and investment in the United Kingdom. “The impact of this decision is far broader than on Microsoft or this acquisition alone. Microsoft has been in the United Kingdom for 40 years, and we play a vital role not just in supporting businesses and non-profits but even in defending the nation from cybersecurity threats. This decision, I have to say, is probably the darkest day in our four decades in Britain. It does more to shake our confidence in the future of the opportunity to grow a technology business in Britain than we’ve ever confronted before.”Smith goes on to say that the European Union is a “more attractive place to start a business than the United Kingdom” and that the English Channel “has never seemed wider.” He also added that the UK “needs to look hard at the role of the CMA and the regulatory structure” if it wants to bring in investment.CMA chief executive Sarah Cardell told the BBC’s Today programme that she didn’t agree with Smith’s comments. “I think this decision shows actually how important it is to support competition in the UK and that the UK is absolutely open for business,” Cardell said. “We want to create an environment where a whole host of different companies can compete effectively, can grow and innovate.”Microsoft has said it will appeal the CMA’s ruling and remains “fully committed to this acquisition.”



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