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[Thick Thighs Save Lives]

Microsoft is restructuring its proposed Activision Blizzard deal to transfer cloud gaming rights for current and new Activision Blizzard games to Ubisoft. The transfer of rights is designed to appease regulators in the UK that are concerned about the impact Microsoft’s proposed $68.7 billion deal will have on cloud gaming competition. The restructured deal has triggered a new regulatory investigation in the UK that could last until October 18th.

“To address the concerns about the impact of the proposed acquisition on cloud game streaming raised by the UK Competition and Markets Authority, we are restructuring the transaction to acquire a narrower set of rights,” says Microsoft president Brad Smith. “This includes executing an agreement effective at the closing of our merger that transfers the cloud streaming rights for all current and new Activision Blizzard PC and console games released over the next 15 years to Ubisoft Entertainment SA, a leading global game publisher. The rights will be in perpetuity.”

This restructured deal means that if Microsoft does close its proposed deal then it will not be able to release Activision Blizzard games exclusively on Xbox Cloud Gaming. Microsoft won’t be able to exclusively control the licensing terms of Activision Blizzard games on rival services either.

“Ubisoft will compensate Microsoft for the cloud streaming rights to Activision Blizzard’s games through a one-off payment and through a market-based wholesale pricing mechanism, including an option that supports pricing based on usage,” explains Smith. “It will also give Ubisoft the opportunity to offer Activision Blizzard’s games to cloud gaming services running non-Windows operating systems.”

Ubisoft will also add Activision Blizzard games to its Ubisoft Plus Multi Access subscription, which is available across PC, Xbox, Amazon Luna, and on PlayStation via Ubisoft Plus Classics.

The UK’s Competition and Markets Authority (CMA) first blocked Microsoft’s deal in April citing cloud gaming concerns, before agreeing to negotiations with the Xbox maker following the Federal Trade Commission’s (FTC) loss in a US federal court last month. Now the CMA has signaled a new investigation phase thanks to Microsoft’s restructured deal, with a statutory deadline set for October 18th — the same deadline that Microsoft recently agreed in its extension of the deal closing date with Activision. A source familiar with Microsoft’s plans tells The Verge that the company now isn’t expecting to be able to close its Activision Blizzard deal until early October.

The CMA has now imposed a final order on Microsoft’s original deal, prohibiting it worldwide while it investigates this new restructuring of the proposed Activision Blizzard acquisition. The CMA notes that “Ubisoft will also be able, for a fee, to require Microsoft to adapt Activision’s titles to operating systems other than Windows, such as Linux, if it decides to use or license out the cloud streaming rights to Activision’s titles to a cloud gaming service that runs a non-Windows operating system.”

The restructured transaction won’t affect Microsoft’s obligations to the European Commission, though. Microsoft has made several cloud gaming deals and EU regulators approved the Activision Blizzard deal thanks to a free license to consumers in EU countries that would allow them to stream via “any cloud game streaming services of their choice” all current and future Activision Blizzard PC and console games that they have a license for.

The agreement with Ubisoft has been structured so that Microsoft will still acquire the rights needed to honor fully its legal obligations under its commitments to the European Commission, as well as its existing contractual obligations to other cloud game streaming providers, including Nvidia, Boosteroid, Ubitus, and Nware,” says Smith.

The CMA will now assess the reworked deal over the coming weeks and deliver a decision by the October 18th deadline. “This is not a green light. We will carefully and objectively assess the details of the restructured deal and its impact on competition, including in light of third-party comments,” says Sarah Cardell, chief executive of the CMA. “Our goal has not changed – any future decision on this new deal will ensure that the growing cloud gaming market continues to benefit from open and effective competition driving innovation and choice.”

Microsoft to sell off Activision cloud gaming rights to Ubisoft in bid for UK approval

A big change to Microsoft’s Activision Blizzard acquisition.

www.theverge.com

Microsoft and Activision Blizzard Restructure Proposed Acquisition

In January 2022, Microsoft announced the proposed acquisition of Activision Blizzard, Inc., to advance our goal to bring more creative and innovative games to players everywhere and on any device. Today, we are taking another important step regarding this transaction.

blogs.microsoft.com

 

[vaibhavpisal]

UK is forcing them to sell useless stuff, now MS will have even less incentive to promote cloud gaming.

It's a good thing I guess.

 

[twilo99]

UK residents can look forward to Ubisoft+ on Gamepass..

The CMA will likely come up with some other BS soon enough.

 

[Yoboman]

Now we just need Sony to buy Ubisoft to really amp up the fuckery

 

[Ass of Can Whooping]

The rights will be in perpetuity.

They said a naughty word

 

[solidus12]

MS acquiring Ubisoft next? EA? Take 2?

Hell buy them all

 

[Bernoulli]

so it's just a proposal


let's hope the CMA blocks it again

 

[Spitfire098]

Get Ubi+ on ps5 now Jim!!!

 

[Snake29]

Looking at what they've announced with their existing studios already years ago. They really don't need ABK at all to "compete". They need to work on their internal management, it won't be fixed by acquiring publisher after publisher. What is their next excuse when they still can't manage to push games out of the door?

 

[Dice]

Can you really translate advanced Direct X games to Linux?

 

[Elios83]

So CMA has confirmed the block on the previous proposal?

They're basically talking about a new probe with a October 18th deadline.
Also the divestiture to Ubisoft seems to be ww not limited to UK.

 

[CoreyFlawless]

I mean. I guess that’s cool

 

[mrmustard]

Interesting.

 

[Bernoulli]

MS acquiring Ubisoft next? EA? Take 2?

Hell buy them all

all they need is buy ubisoft to bypass this deal

 

[Ozriel]

Looking at what they've announced with their existing studios already years ago. They really don't need ABK at all to "compete". They need to work on their internal management, it won't be fixed by acquiring publisher after publisher. What is their next excuse when they still can't manage to push games out of the door?

you’ve pushed variants of this argument for months. What’s this got to do with this thread, or cloud gaming rights?

 

[RavenSan]

Surely this has to be enough to appease the CMA -- and it seems like a pretty mild concession, if I'm understanding correctly, the games will still be on xcloud, but just Ubisoft has a say in the licensing out to other vendors (including themselves).

Seems like a pretty solid win/win

 

[gothmog]

I said it would be divestiture long ago. Interesting solution.

 

[Noxxera]

Surely this has to be enough to appease the CMA -- and it seems like a pretty mild concession, if I'm understanding correctly, the games will still be on xcloud, but just Ubisoft has a say in the licensing out to other vendors (including themselves).

Seems like a pretty solid win/win

I'm happy as long as the games come on Geforce Now. Time will tell. No streaming service can compete with theirs.

 

[polybius80]

Can you really translate advanced Direct X games to Linux?

you mean play games in linux? if that is the case yes, for example you can play baldurs gate 3 without any problem directly(you need to enable proton but its a simple buton in steam menu) I see the dlss and fsr options and there are people that use them but i dont use them as have no problem on rtx 4070, preferable use steam you can also use lutris if playing wow, starcraft or other games not present on steam without having to use wine directly not that its difficult to do but some people are afraid of moving options or type some stuff in a terminal, I don't use the epic store so cant help you there but supposedly its perfectly usable, as a general rule the main problem is some of the anti cheat systems don't work but it improves quickly for example you can play halo master chief collection in official anti cheat servers, before you originally couldn't and was restricted to use non anti cheat servers or offline play not everything work for example you cant currently play destiny but most games do work

if in doubt of a particular game check https://www.protondb.com/

 

[StealthGoblin]

Is this service included in GamePass or PS+?

 

[twilo99]

so it's just a proposal


let's hope the CMA blocks it again

They will have to find something other than cloud gaming this time but I’m sure they can get creative.

 

[Banjo64]

Over the next 15 years

If the CMA accept this they have been leaned on. Another nothing proposal.

 

[March Climber]

Now Nintendo, complete your exclusive deal with Ubisoft.

Strike when no one expects.

 

[SenkiDala]

Europeans are forcing them to sell useless stuff, now MS will have even less incentive to promote cloud gaming.

It's a good thing I guess.

Well UK isn't Europe (except for the continent), in fact Europe approved the deal quite fast.

 

[DenchDeckard]

Is this just for the UK?

 

[Noxxera]

Is this service included in GamePass or PS+?

Ubisoft+ is a standalone service you can buy on Xbox I believe. I believe PS have the service too, or it's limited. It isn't part of GamePass at least when I googled.

 

[X-Wing]

Microsoft submits new deal for review after CMA confirms original deal is blocked

The CMA has opened a new phase 1 investigation into a new, restructured deal by Microsoft to buy Activision.

www.gov.uk

CMA finalises decision to block original merger after rejecting submissions by Microsoft to revisit its original decision;

Microsoft submits new, restructured deal for review, triggering a fresh Phase 1 investigation by CMA;

Under the new deal, Microsoft will not acquire the cloud streaming rights to all current and future Activision games released during the next 15 years (excluding in the EEA)

 

[StealthGoblin]

Well UK isn't Europe (except for the continent), in fact Europe approved the deal quite fast.

There are quite significant reservations found in the EU approval. If MS step out of line then there are penalties and the threat of structural remedies that are reserved.

The CMA can’t be bothered with that and don’t want to have to constantly regulate after the fact, whereas the EU don’t mind it. They both game to similar conclusions.

 

[StealthGoblin]

Ubisoft+ is a standalone service you can buy on Xbox I believe. I believe PS have the service too, or it's limited. It isn't part of GamePass at least when I googled.

Ubisoft Classics+ is included in PlayStation Plus. I wonder whether that service would see a lot of older ABK games added. Shame it would only be streaming though.

 

[DenchDeckard]

This seems pretty huge to me. Surely, MS have a plan to buy ubisoft in the future. This seems pretty crazy to my lamen brain

 

[ShaiKhulud1989]

Thing is, the old deal is officially dead worldwide.

Small nugget from CMA:

Prior to the new deal being submitted, Microsoft made submissions that the final order to block the original merger should not be imposed.

 

[3liteDragon]

 

[Banjo64]

This paranoid greaseball needs to chill.

 

[DenchDeckard]

Why is CMA stalling to scupper the deal if everyone else has passed it? I don't get what he's trying to say.

They don't need to "sabotage" the deal they just do their honest job and go either way.

 

[Mownoc]

"The agreement includes the complete slate of current Activision Blizzard games, as well as all their new titles launching in the 15 years after the closing of Microsoft’s acquisition of Activision Blizzard. The games will land on Ubisoft+, while also allowing Ubisoft to license them to cloud gaming companies, service providers, and console makers."

So Ubisoft have control over licensing Activision games to "console makers"

 

[Banjo64]

Why is CMA stalling to scupper the deal if everyone else has passed it? I don't get what he's trying to say.

They don't need to "sabotage" the deal they just do their honest job and go either way.

People are confusing the CMA with the FTC IMO. The process in the UK is so stacked in the CMA’s favour that they literally have no reason to try and stall whatsoever.

 

[Thick Thighs Save Lives]

Is this just for the UK?

No, it's worldwide.

The agreement provides Ubisoft with a unique opportunity to commercialize the distribution of games via cloud streaming. The agreement will enable Ubisoft to innovate and encourage different business models in the licensing and pricing of these games on cloud streaming services worldwide.

 

[Mownoc]

This seems pretty huge to me. Surely, MS have a plan to buy ubisoft in the future. This seems pretty crazy to my lamen brain

If this Ubisoft deal becomes the reason the CMA pass the Activision merger then there's no way the CMA would later approve them buying Ubisoft. Not gonna happen.

 

[DenchDeckard]

Its a big thing MS are doing here but I don't get what stops them from buying ubisoft. I guess the UK stops them?

Can't fuck with us wonky tooth bits! We'll 'Ave Ya!

 

[X-Wing]

But Florian told me they would close the deal over the CMA.

 

[DenchDeckard]

Jez cordon...you mess!

 

[harry mason 1989]

Why this dumbass always negative?

 

[X-Wing]

With a single subscription to Ubisoft+ Multi Access, players will soon be able to play their favorite Ubisoft and Activision Blizzard games across multiple platforms including PC, Xbox consoles and Amazon Luna, and on the PlayStation platform through Ubisoft+ Classics. The agreement will offer players even greater access to a large library of beloved and classic titles as well as the newest releases, all through cloud streaming.

This is amazing. The CMA has forced Microsoft into putting these games on PlayStation+.

 

[solidus12]

 

[vaibhavpisal]

Wrong thread.

 

[ShaiKhulud1989]

This is amazing. The CMA has forced Microsoft into putting these games on PlayStation+.

And it's kinda confirms that all ABK games will be multiplat for at least 15 years.

That's how anti-competative bodies should work. Force company to implement real binding changes and not vague 10-year deals.

 

[Ozriel]

all they need is buy ubisoft to bypass this deal

And you think a purchase of Ubisoft won’t go through regulation?
This deal should boost Ubisoft share prices, making it more expensive for purchase. And regulators will take the cloud rights into consideration for any purchase offer.

It’d be literally impossible for any console maker to buy Ubisoft after this, without guaranteeing zero interference in the 15 year deal

 

[Mownoc]

There's a deal beyond cloud gaming alone here.

"With a single subscription to Ubisoft+ Multi Access, players will soon be able to play their favorite Ubisoft and Activision Blizzard games across multiple platforms including PC, Xbox consoles and Amazon Luna, and on the PlayStation platform through Ubisoft+ Classics."

Ubisoft+ is not a cloud gaming service (outside of Luna support).

 

[Elios83]

Things are definetly different from previous understandings where it seemed that Microsoft had already made a proposal to CMA and we would get a final decision on it by August 29th.
CMA effectively stalled the appeal as they wished but I think it's likely they will be happy with the cloud divestiture unless there are hidden clauses they will investigate on during the new probe.

 

[Snake29]

Are you fucking stupid?

Bitch, stfu. Whatever this thread it's still about the whole purchase of this joint.

you’ve pushed variants of this argument for months. What’s this got to do with this thread, or cloud gaming rights?

It's about the whole purchase of ABK you know?