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Recently, the UK’s competition and mergers regulatory body, known as the CMA, made headlines by blocking the proposed merger between Xbox and Activision byMicrosoft. This merger was seen as an opportunity for Microsoft to strengthen its position in the console market, where it currently trails behind competitors. As the gaming industry increasingly shifts towards mobile games and services dominated by companies like Apple, Google, and Tencent, Microsoft aimed to secure a stronger foothold through the merger.
However, Sony managed to raise concerns about the acquisition, creating unfounded fears that Microsoft might block popular games likeCall of Dutyon PlayStation, despite contractual obligations stating otherwise. Sony’s efforts had a significant impact on questioning the merger, particularly in key markets such as the UK.
Also read:PlayStation Showcase: Excellent Alan Wake 2 Cinematic Trailer Shown, Release Date and DLC Plans Announced
The CMA has gained something of a reputation for being out of touch and uninformed when it comes to technology deals, having faced criticism in the past for making overreaching claims against companies like Apple. Previous decisions by the CMA have demonstrably harmed investment in the UK market, potentially stifling innovation and job creation in a region that greatly needs them. Recently, the CMA faced scrutiny from the European Commission and the UK government for its perplexing choice to block Microsoft’s deal with Activision, citing concerns about potential harm to the “cloud gaming market,” which, by most measures, is still in its infancy. Now, another interesting aspect of this situation has come to light.
Is the CMA corrupt?
Florian Meuller is a patent lawyer who recently made the discovery that Colin Raftery, the current senior director at the CMA, previously worked for Cleary Gottlieb, a law firm representing Sony in their regulatory objections to the merger.
Also read:PlayStation Showcase: Marvel’s Spider-Man 2 Gameplay Finally Shown, It Looks Better Than We Thought Possible
Raftery is scheduled to speak at an upcoming event focused on post-Brexit regulatory issues. Another of the speakers at the same event represents legal firm RBB, which also represents Sony and Google in their complaints against Microsoft’s acquisition. While Raftery no longer works for Cleary Gottlieb, there is a possibility of a conflict of interest if he maintains personal relationships with individuals who stand to benefit from blocking the merger.
Also read:PlayStation Showcase: 505 Games Show Hectic and Exciting ‘GhostRunner II’ Cinematic Trailer, Showing Open-World Traversal
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Daniel Boyd
Former Head of Gaming and Tech
Articles Published :169
Dan is one of FandomWire’s Former Gaming Content Leads and Editors. He is a 28-year-old writer from Glasgow. He graduated from university with an honours degree in 3D Animation, before pivoting to pursue his love for critical writing. He has also written freelance pieces for other sites such as Game Rant, WhatCulture Gaming, KeenGamer.com and The Big Glasgow Comic Page. He loves movies, video games and comic books.
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