A big change to Microsoft’s Activision Blizzard acquisition.
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a senior editor covering Microsoft, PC gaming, console, and tech. He founded WinRumors, a site dedicated to Microsoft news, before joining The Verge in 2012.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.
“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,”. “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.
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.”
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