The U.K.’s antitrust authority ruled barring Microsoft’s takeover of ‘Call of Duty’ producer Activision Blizzard was the right move after both businesses complained it sent the wrong message to the global tech sector.
The Competition and Markets Authority (CMA) banned the agreement on Wednesday, claiming it may hurt cloud gaming competition.
Brad Smith, Microsoft’s president, claimed the judgment “had shaken confidence in the U.K. tech industry” and was “probably the darkest day in our four decades in Britain.”
“If the U.K. government wants to bring in investment and create jobs (…) it needs to look hard at the role of the CMA, the regulatory structure in the U.K., this transaction, and the message that the U.K. has just said to the world,” he told BBC radio.
“There’s a clear message here – the European Union is a more attractive place to start a business than the United Kingdom,” he continued.
However, CMA Chief Executive Sarah Cardell said the regulator’s mission was to make Britain a competitive environment for firms to flourish and prosper.
“That’s important for U.K. consumers and U.K. business and it’s those U.K. consumers and U.K. businesses that the CMA is here to protect,” she told BBC Radio.
She said the CMA was independent and responsible for its judgment.
“The CMA takes an independent decision that we reached looking at an overall assessment of the deal’s impact on competition, and we think that is the right decision for the U.K.,” she added.
She noted that Britain and the U.S. Federal Trade Commission also sought to halt the agreement.
Comment Template