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Feb 03, 2023 57 secs
In another potential blow to Xbox's Activision Blizzard merger, the European Union has reportedly hit Microsoft with a formal antitrust warning as it tries to get approval on its nascent $69 billion deal.

Politico reports that EU representatives sent Microsoft a statement of objections laying out why the body feels the deal may be problematic for the games industry.

The statement was not released, but the EU has previously contended that Microsoft might be "incentivized" to block access to Call of Duty in the future.

I think the more regulators are informed about what gaming is, how the business runs, who the players are, and what our aspiration is as Team Xbox is just a good thing for the industry itself."

Despite that, Xbox's deal has come under intense scrutiny in the US, UK, and EU, with Sony contending that the merger would create a games industry monopoly.

Both Spencer and Activision Blizzard CEO Bobby Kotick continue to express confidence in the deal closing, with Kotick writing in an internal memo that two companies "believe these arguments will win despite a regulatory environment focused on ideaology and misconceptions about the tech industry."

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