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Microsoft / Activision deal prevented to protect innovation and choice in cloud gaming

Heisenberg007

Gold Journalism
You know, I heard Jim gave Lina Khan the best night of her life and she then went and serviced the entire CMA with the talents and skills she learnt from big Jimmy. They had nothing that they could do but block the deal....

Lina said if we really need to, both me and Jimmy will come serve all the members of the CMA.....I heard they can't wait!!
Jake Gyllenhaal No GIF
 

Flutta

Banned
Why can this trillion dollar corporation only compete by buying up established 3rd party ip and removing access from other platforms? This is what they should really be asking! How many new ip and big budget sequels could Microsoft create with 70b? Why dont they do that and actually make the industry better and more competitive? I Dont understand Microsoft. I really Don't. Even after this, they will try more acquisitions instead of creating their own content.
You should read what Nutella has to say about that. I think you will get a clear picture as to why they behave as they do. 😅
 

GHG

Member
Also for anyone who wants to play dumb regarding Microsoft's intention with cloud gaming and it's relationship to this deal in particular, please read their press release from last year that was addressed to regulators:

In addition, we hope that players will be eager to play traditional console games from Activision Blizzard on other platforms via our cloud game streaming technology.


This promises to open up mobile gaming, creating new distribution opportunities for game developers outside of mobile app stores while delivering compelling and immersive experiences for players by using the power of the cloud. And we can extend the joy of playing to devices that people already own, including Smart TVs and laptops.

https://blogs.microsoft.com/on-the-issues/2022/09/01/gaming-everyone-everywhere/


The time when disingenuous takes regarding this subject could fly has long passed.
 
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PaintTinJr

Member
CMA chief: ‘The right thing is to keep this market open for competition’

For anyone still confused about that argument, I'll add a little bit of perspective about our UK history of telecoms - which cloud as a service, for games or otherwise will eventually map to with or without convergence to a natural monopoly.

Telecoms in the UK was an extension of our Crown's Postal Service (Royal Mail) resulting in completely state installed network to the end user and ran just like our postal service was - with other players doing business contracts, but the majority of users were all using BT and Royal Mail for each service - until some EU treaty was signed and we then started to deregulate the network.

This change allowed other companies to install local loops to let them LCR (Least Cost Route) telecoms calls without using the BT network at all, but we also then deregulated the local loop carrying aspect of the BT network, and when digital telecoms via ADSL(Asynchronous Digital Subscriber Line) became viable through cheap electronics broadband by LCR became a new market, and eventually BT was required to divest its network business from its service business - the network then becoming OpenReach - which has an installation on the local-loop to every house in the UK, and so provides a flat fee service to ISPs with a line capable QoS at the line's physical capability, with user QoS limited by the ISP's sold service. Where other competing - local loop - services have been installed too, users have a wide variety of choices between (local loop) ADSL/DSL services carrier over OpenReach by many different ISPs competing on services/price and cable or fibre services by fewer companies in highly populated areas such a VirginMedia or Giganet.

What Amazon and Microsoft probably don't realise is that all the money they've spent on infrastructure for Cloud and the 70% market share they have in the UK means they will ultimately end up as the OpenReach, meaning their services will be decoupled from their infrastructure to flat fee provide the cloud compute to other service providers. Them having too much infrastructure and service, gave them no chance of avoiding that scenario. As is (without ATVI) they might still avoid that flat margin future on their infrastructure so long as the market has enough competition to keep prices at bay - say like our Mobile phone network.

So the CMA have actually saved Microsoft a tonne of ofcom regulation and lost revenue in years to come with this decision. They should probably be grateful they are getting to lose just $3b, now :)
 
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I said "I'm outta here LOL" because I knew it'd be a shitshow of Sony fans gloating and beating their chests.

And well done taking my comments out of context. I don't give a shit how this goes. CMA refusing MS/ABK didn't make me break down in tears or jump for joy. I only want to see MS be succesful overrruling this because it'd upset the Sony fans who think they have won this stupid fucking console war. Maybe I just like routing for the underdog.

This forum is obviously heavily biased toward Sony so I could waste my time arguing but I know I'm not going to get anywhere with you lot. Nobody is allowed to say anything bad against Sony. I'll probably get a perm ban for my posts but I don't give a fuck.
Dog, CMA just wants a system that's the best, and that's that Triple.

Sorry, but I can't resist a reference to Chad Daddy. I understand if I need to be punished by the mods.
 

Saber

Gold Member
I haven't seen a single one of you who obsess over free games post once in the epic games store thread or in threads that I've created on this very forum when a game is being given away.

Just saying.

Who Knows Idk GIF

I like when those people go over a super cool game thread and post "is this gonna be on Gamepass?"
Or my favorite "well this game is complete garbage, but if it goes to Gamepass then I might play it".
 

PaintTinJr

Member
No they can appeal and will more likely will with MS stating activision games wont be blocked from other cloud gaming market places
They can't add that now. They had their chance to act in good faith through the phases. The appeal - assuming they even get to attempt the appeal given the height of the bar to get an appeal - doesn't allow them to renegotiate. It is purely procedural checks that the CMA didn't make a mistake in the process - which they didn't. - so they are unlikely to get an appeal, and even less likely to get the CAT to uphold an appeal, to then require the CMA to relook at what was already provided and assessed to form the decision.
 
Pretty disgusting response from Microsoft they actually threatened a country that's nuts nobody should support that shit I didn't expect them to lash out like that it doesn't project confidence they're acting as if their life depends on this deal. It's time for them to shut the hell up stop talking to the press constantly put their heads down and go to work on games they have more than enough studios I'm just not understanding this act of desperation...
 
I have honestly been shocked by the reaction from MS, I thought they would put out the usual PR of ‘we’re disappointed by this result but we will argue on appeal’ blah blah blah but no, they’ve gone full batshit. Why are they so rattled?

My guess.

Because there's probably some pretty serious consequences if they can't get this deal through. They were probably relying on it to do something huge and now the plan is ruined if it doesn't go through.
 

Corndog

Banned
So what? Basically Sony would become a Dell providing the standardized plastic box while Microsoft provides the binaries. Both powerful but you would probably argue that Microsoft is in the dominant position. Especially if they made it really easy to incorporate Windows OS on let's say something like a Steam Deck or AMD chipsets. Oh and had a ready to go monetization, digital rights, and delivery platform ready to go.

They're basically there. They just need to basically let Sony "win" to get there which is where the problem lies.
When there is no competition prices go up. I hope Microsoft gets their act together and that doesn’t happen.
 

DrFigs

Member
It's probably not the case, but I wonder if they had already began to restructure xbox around this acquisition. like the layoffs at 343 for example. It just seems like there were massive layoffs, then all the heads of the studio left. I just wonder if this was because they had people from COD they expected to join.
 
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I have honestly been shocked by the reaction from MS, I thought they would put out the usual PR of ‘we’re disappointed by this result but we will argue on appeal’ blah blah blah but no, they’ve gone full batshit. Why are they so rattled?
Because the monopolist's playbook doesn't go past spend a ton of money and try to buy your way to victory. They're at the end of the playbook here and they are panicking.
 

Banjo64

cumsessed
I think part of thier showcase also relied on it.
This goes way beyond Xbox based on the reaction of the MS higher ups.

Pretty disgusting response from Microsoft they actually threatened a country that's nuts nobody should support that shit I didn't expect them to lash out like that it doesn't project confidence they're acting as if their life depends on this deal. It's time for them to shut the hell up stop talking to the press constantly put their heads down and go to work on games they have more than enough studios I'm just not understanding this act of desperation...
I think the current leadership team are just all arrogant fucks - that’s all I can think. From the start I was amazed that their legal counsel hadn’t told them (including Phil Spencer, Greenberg, their tweeting idiot comms lead, baldy-in-command etc) to all shut the fuck up. No tweets on this, no pics of Crash prior to the deal being signed off, no interviews at all touching on this deal or future plans for Xbox etc. all of it. Just shut the fuck up and allow the submissions to do the talking.

Someone earlier said it but this will be in future text books as a precedent in how not to engage with regulators.
 

PaintTinJr

Member
Because they don't see a way out and they're mad they can't get everything they want through money and lobbying.
I think it is worse than that. I suspect every move they have lined up for the next 5-10years could fail by this same process and they don't want to do Zenimax or smaller deals to drive up their returns, as it is too risky.

They can also see that the UK is going to be the anti-trust ball buster of the world - unless they back them down, which is never happening - and they know this is the end of the line for multi-trillion dollar mega-corp growth for them, Apple, Amazon, Google and anyone else in that ball park worth.
 
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Cyberpunkd

Gold Member
I have honestly been shocked by the reaction from MS, I thought they would put out the usual PR of ‘we’re disappointed by this result but we will argue on appeal’ blah blah blah but no, they’ve gone full batshit. Why are they so rattled?
Or maybe it’s time to stop wanking to appease everyone and start going guns blazing like you are fucking supposed to? It’s business, not childcare.
 
Not buying it, threatening a country for a 5 minute sound bite at some show.

Obviously it would have been other things as well. Maybe they had some crazy plans on dominating the gaming market in some way with this and are really mad it's going to be extremely difficult now.
 

RiccochetJ

Gold Member
I don't understand xbox fans... you havent lost anything! Activision games are still on xbox! Or was it that you wanted their games removed from playstation? This is what it's really about isn't it?
I was hoping that under Microsoft, they might greenlight a Prototype sequeI. Under Activision, they killed it because while it made money, it didn't make enough money. I want more Prototype dammit! And that's the type of game I think would do very well in a subscription type service. So I don't really care if it's on Gamepass, PS+ Extra, or both. Bring back Prototype!
 

DrFigs

Member
I was hoping that under Microsoft, they might greenlight a Prototype sequeI. Under Activision, they killed it because while it made money, it didn't make enough money. I want more Prototype dammit! And that's the type of game I think would do very well in a subscription type service. So I don't really care if it's on Gamepass, PS+ Extra, or both. Bring back Prototype!
This was never going to happen. The worst thing MS could have done is take a successful company like ABK and change their strategy. All the talk about reviving old franchises was a lie, or if it wasn't a lie, we'd have to rely on Phil Spencer's management skills to see these games come through.
 
Or maybe it’s time to stop wanking to appease everyone and start going guns blazing like you are fucking supposed to? It’s business, not childcare.
Lol. Yeah man, let’s start fuckin indentured servitude and child labour again! Fuck it! It’s business! Guns blazing, let’s go!

Well chosen avatar for your sentiments.
 
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