Heisenberg007
Gold Journalism
Your interpretation is incorrect. The CMA document states 3 things:That’s not how it works.
They clearly state that they’re concerned about exclusivity if the deal is allowed. And state here that they’re not convinced MS separate offer to Sony fully assuages their concern. Elsewhere, they state MS can try to demonstrate how behavioral concessions will cover all the risks they outline.
MS position will be to tender the 10 years agreements drawn up with other parties, as well as the proposed 10 year deal with Sony. They’ll also be detailing enforcement and iron clad compliance guarantees. Which will include steep fines from the EU. I’ve also seen report that Microsoft is also volunteering to cover fees for a third party monitoring company that will monitor for compliance.
The concessions they’ll be putting forward to the CMA are dramatically different in scope and regulation…and that’s why there’s confidence in some circles that they will fly.
And now I await the inevitable LOL emojis![]()
1) It acknowledges Microsoft's agreement with Nintendo (signed), Steam's, and PlayStation (didn't sign).
2) It then states Microsoft's past behavior and how the balance always turns out in favor of exclusivity.
3) It then states that, because of these aforementioned reasons, the CMA concludes that the Merged Entity will have enough incentive to use COD to foreclose PlayStation -- despite the agreements.
As far as behavioral access remedies go, these 10-year agreements of course are not adequate behavioral access remedies because, according to the CMA elsewhere in the document, is time limited.
Whatever behavioral access remedies Microsoft tries to convince CMA on will have to be similar in effect to the proposed structural remedies (primary), which in this case is divestment.