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Microsoft pitches new Activision deal to UK’s competition watchdog

A new investigation will be carried out with a deadline for a decision set for 18 October

The UK Competition and Markets Authority said that Microsoft has submitted a new deal to buy Activision after the original was blocked and the deal was prohibited on a worldwide basis.

The CMA said on 22 August that, 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 the European Economic Area.

The cloud streaming rights will instead be divested to Ubisoft Entertainment prior to Microsoft's acquisition of Activision, it added.

READ Berkshire Hathaway slashes Activision stake by 70% as Microsoft deal edges closer

"Ubisoft will be able to license out Activision's content under different business models, including subscription services. The deal also proposes that Ubisoft would have the ability to require Microsoft to provide versions of games on operating systems other than Windows," it added.

A new investigation will be carried out with a deadline for a decision set for 18 October.

The CMA added that it is inviting comments from any interested party on the impact that the merger could have on competition.

This article was published by MarketWatch, part of Dow Jones

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