British authorities are under pressure from politicians over their recent decision to block a planned acquisition. Activision Blizzard from the side Microsoft. Questions also began to multiply after the approval of trading in the European twenty. It is reported by Reuters with reference to the British. Chancellor of the Exchequer Jeremy Hunt at a business conference, what would you power they had to understand the importance of sustaining economic growth.
“One of the reasons companies like Microsoft and Google want to invest in the UK is because we have independent regulators that are not controlled by politicians. I wouldn’t argue with that, but I think it’s important that all of our regulators understand their broader responsibility for economic growth,” he said.
Representatives Competition Authority (CMA) they were also part of parliamentary committee hearings. Here is the chairman of the KMA Sara Cardell again cited protection of the growing cloud gaming market as the main reason for the suspension of trade. She obviously didn’t answer the question anymore. whether the authority considered the impact on the international reputation of the UK market.
Committee hearings are closed. It was great in terms of #Microsoft–#ActivisionBlizzard merge. @CMAgovUK it can be seen that what he did is not approved by the legislators, with @BimAfolami involving the CMA in the task is very effective. This deal will take place.
🧵 27/27
— Florian Müller (@FOSSpatents) May 16, 2023
Politicians also asked about interactions with other state authorities, apparently alluding to alleged calls with the US president. Federal Trade Commission (FTC), which is also not a positive point in the acquisition. According to Cardell, these were general discussions, and the details were discussed later, while she, of course, did not specify with whom and to what extent. FTC Chair Lisa Hahn and another Reuters source confirmed the meeting, but the purchase of Activision Blizzard was not discussed.
The UK Regulator is directly accountable to Parliament. Under certain conditions, UK law allows the Secretary of Commerce to change the decision of the CMA. However, the Minister of Commerce also appoints the members of the CMA, and the Prime Minister usually determines its policies.
There is speculation that the CMA may change the decision before Microsoft begins the appeal process. Otherwise, the acquisition lock will be resolved until Court of Competition Appeals (CAT).
Source : Zing
