Sony targets competition watchdogs over Call of Duty deal
Sony blasts CMA for not opposing merger between Call of Duty maker Activision Blizzard and Microsoft
Tech and entertainment giant Sony has blasted competition regulators for failing to oppose the £55billion merger between Microsoft and call-of-duty maker Activision Blizzard.
The company’s gaming arm, Sony Interactive Entertainment, said the Competition and Markets Authority’s (CMA) decision was “surprising, unprecedented and irrational.”
Last month’s CMA statement that it no longer believed the merger posed a risk of “significantly reducing competition” in the UK console games market had “serious” flaws, including an underestimate of how much Microsoft was making by blocking access to Call of Duty for Sony PlayStations.
Sony said the Competition and Markets Authority underestimated how much Microsoft could gain by blocking access to Call of Duty for Sony PlayStations
“In order to come to a robust decision, the CMA should reconsider its analysis of Microsoft’s incentives,” Sony said.
The independent CMA panel said the cost to Microsoft of blocking access to Call of Duty would “outweigh any gain.”
To allay concerns from regulators in the US and here, Microsoft has struck deals with companies like Nintendo and Nvidia to allow access to Call of Duty.
But Sony has refused to budge.