South Korea Approves Activision Blizzard Acquisition

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Almost 40 Countries Approved The Deal!

Microsoft’s $68.7 billion purchase of Activision Blizzard remains an uphill battle. While major regulators like the CMA blocked the deal, the company earned much-needed approval from the European Commission.

A few hours ago, Microsoft earned another green light on the deal, this time from South Korea. The KFTC has now approved the Activision Blizzard acquisition, joining nearly 40 countries that have previously supported the deal.

Why it matters: Each new approval is important for Microsoft as the company gears up to appeal against the CMA and defend the deal against the FTC in court.

Microsoft Activision Blizzard Acquisition

Looking at the Korean market, Activision franchises like Call of Duty do not have the influence and popularity seen in other markets.

Therefore, it is unsurprising that the deal saw little opposition from the KFTC. Both Call of Duty and Diablo have less than a 5% share of the gaming industry in Korea, making it a small percentage of the market.

As such, the regulator does not see much harm in the deal going through, even if Call of Duty became exclusive to Xbox at some point. Cloud gaming concerns have also likely been addressed with deals signed between Microsoft and providers like GeForce Now.

With Microsoft filing the appeal against CMA’s decision, and South Korea’s latest approval things are looking better than ever for the Activision Blizzard acquisition. The FTC is still another strong opponent for Microsoft, but the gaming giant remains confident in its ability to clear the merger.

Previously, countries like Brazil, Japan, Mexico, and China approved the Activision Blizzard acquisition. South Korea has now joined this list, becoming the latest country to decide in Microsoft’s favor.

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