Microsoft & Activision
Microsoft’s $69 billion acquisition of Activision Blizzard has been provisionally criticized by the Competition and Markets Authority (CMA) of the UK. The watchdog has warned that the deal could harm competition in the UK gaming market, which could result in a substantial lessening of competition, higher prices, fewer choices or less innovation for UK gamers. The CMA has expressed its initial view that the deal could result in anti-competitive practices and has suggested a number of structural remedies, such as the divestiture of the business associated with Call of Duty, the Activision part of the business, or blocking the merger altogether.
The CMA has also raised concerns about Microsoft’s ability to enforce behavioral remedies that would allow rivals to access to Call of Duty. The CMA has asked Microsoft to respond to its concerns by February 22 and has set a statutory deadline for the publication of a final report for April 26.
The deal is already facing opposition from the US regulator, who has filed a lawsuit to block the takeover. The European Commission is expected to make a decision on the deal by April 11, and the outcome could impact the future of the merger.
Sony Group has been a vocal opponent of the deal, calling it “a game-changer that poses a threat to an industry.” The company has also raised concerns about the impact of the deal on the nascent cloud gaming industry.
The UK watchdog’s probe has focused on whether the deal will allow Microsoft to foreclose on rival console gaming platforms and cloud gaming service providers. Microsoft has stated that it is committed to offering effective and easily enforceable solutions to address the CMA’s concerns and has promised to grant long-term equal access to Call of Duty to other gaming platforms and cloud gaming service providers.
The Microsoft-Activision deal is facing opposition from regulators in the UK and the US, and the outcome could have a significant impact on the gaming industry. If the deal goes through, it could result in higher prices, fewer choices and less innovation for UK gamers. On the other hand, if the deal is blocked, it could preserve the benefits of the gaming industry to gamers and developers, and increase competition in the market.
MSFT Stock Price Forecast & Analysis
Based on the latest stock forecasts from 39 analysts, Microsoft Corporation is expected to see a growth in its stock price in the next 12 months. The average analyst target price for Microsoft Corporation is USD 285.67, which is a significant increase from its current stock price of USD 267.56. This high target price suggests that the majority of analysts are bullish about the future prospects of the company.
Furthermore, the average analyst rating for Microsoft Corporation is a “Strong Buy”, indicating that the majority of analysts believe the stock is undervalued and has a high potential for growth. This positive outlook is further reinforced by the bullish assessment from Stock Target Advisor, which gives Microsoft Corporation a bullish rating based on 10 positive signals and 4 negative signals.
The stock price of Microsoft Corporation has shown a positive trend over the past week, with an increase of 7.97%. The stock price has also shown strong growth over the past month, with an increase of 18.95%. However, over the last year, the stock price has seen a decline of 11.09%, which could suggest some volatility in the market.