CMA decision "far from the final word" on Microsoft deal, insists Activision boss Bobby Kotick
"We're confident in our case."
Activision Blizzard CEO Bobby Kotick has responded to this morning's stunning decision by the UK's Competition and Markets Authority (CMA) to block Microsoft's $69bn acquisition deal.
In an internal email, published publicly, Kotick stated the result "isn't the news we wanted - but it is far from the final word on this deal".
He also confirmed that the decision will be contested, alongside Microsoft. "We're confident in our case because the facts are on our side: this deal is good for competition," he said.
Much of Kotick's response focused on the benefits this merger would bring to the UK's tech market.
"At a time when the fields of machine learning and artificial intelligence are thriving, we know the UK market would benefit from Microsoft's bench strength in both domains, as well as our ability to put those technologies to use immediately," said Kotick.
"By contrast, if the CMA's decision holds, it would stifle investment, competition, and job creation throughout the UK gaming industry."
This mirror's a similar statement on Twitter from the company's EVP of corporate affairs and CCO Lulu Cheng Meservey: "This report is also a disservice to UK citizens, who face increasingly dire economic prospects, and we will need to reassess our growth strategy in the UK."
Kotick continued: "This merger is a complex process, and I know I'm not the only one frustrated by the hurdles and delays. We're accustomed to a company culture that moves quickly to accomplish big goals, so it's tough when we can't close things out at our usual energetic pace. We'll keep pressing our case, because we know that this merger will benefit our employees, the broader UK tech workforce, and players around the world.
"I'm going to do everything I personally can to advocate for us and help regulators understand the competitive dynamics in our industry. What gives me confidence is that, whether on our own or united with another company, we are one of the strongest companies in our industry, poised for continued growth, and building on our incredible IP."
The CMA's decision today comes as a shock, following its recent provisional findings that the merger "will not result in a substantial lessening of competition in relation to console gaming in the UK", though concerns remained about competition in cloud gaming. It's those concerns that form the basis of its rejection.