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Forums - Gaming Discussion - CMA blocks MS /ABK merger (Update: UK gov smears the CMA)

Looks like they prevent microsoft from buying activision for the next 10years, they wanted to give so much 10 years deals that in the end these deals fucked them and now they got a 10year deals themselfs 🤌



 

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LurkerJ said:
Chazore said:

You do realise the PC space means all software providers, publishers, studios making apps, game publishers, etc.


You do realise that MS has money, but they cannot literally buy everyone and everything that is being used within PC's universe. 

They *could* put a lockdown on everything and just be an outward brute to everyone, but we all know how that worked out when they tried their EEE strat, so them going from a subtle strat to an outlandish one would get shut down so much faster.

PC in general is so much bigger than you think you know, bigger than anyone here knows, and I'm not on about the gaming sector, I'm on about everything else (yes literally everything else within it's sphere). MS cannot afford to buyout or control absolutely everything on PC, it's both impossible and entirely impractical (Which is why they have their OS, the cloud and some services, instead of hw, and literally everything else anyone else has made for and on PC, past present and future, because that's just not possible.

I'm legit trying to mull over this ability to somehow own/dominate an open platform, and it sounds so bonkers, like not a "whoa man, far out", I mean as in "wow, not possible, why we we even trying to think of this?".

Despite what others will tell you, Mac, Windows and Linux, as well as Amiga, are all OS's that are used for PC's, so regardless of Windows existing, MS would still somehow have to dominate/own Mac OS and Linux, as in prevent any and all growth, because time changes everything, things grow, and dominance can certainly wane, so for them to dominate all of PC, they would have to eliminate or own those following OS's, or risk them growing and making their "dominance" a non factor or "whatever".

I don't understand what you're to say here, really. Just literally hours ago the EC ordered Microsoft to uncouple Teams from Office because Slack, the product MS copied, lost all of its lead to Teams after MS flexed its muscle and leveraged its dominant position to promote their copycat product. MS is a convicted monopolist and a repeat offender, they will abuse whatever power they're handed, whether they're successful at this or not is a different matter; one the CMA isn't keen on finding out. 

The funny thing is that MS didn't protest the EC decision at all and complied immediately, because as a repeat offender, they know better than anyone how they challenged similar decisions in the past and lost. 

Do you have a source for this? all I can find is that MS agreed with regulators before the case even went to court to remove the mandatory installation of teams with their office suits.

Also, Teams is a replacement for Skype for Business which was rebranded from Microsoft Lync which itself was a rebranded "Office Communicator" which existed since 2007 a whole 6 years before the introduction of Slack so the copy claim is far from painting justice to reality.

In the end, Teams is an office software that was bundled in their office software suite which is kind of the point with all their office software. By the same token, Google could file suit against MS cause their Google Docs and Spreadsheet are impacted by the inclusion of Word and Excel in the same suit.

Anyway the funny thing about your funny thing is it place MS in a damn if you do damn if you don't scenario, MS made the least "monopolistic" resolution possible on the issue as going to court would only further entrench this view.



LurkerJ said:
The Fury said:

I expected it to go through but earlier in the year (or late last) an Activision spokesperson said something that sounded basically like an ultimatum, as in approve it and we'll invest in the UK, don't and we won't.

"The CMA's report contradicts the ambitions of the UK to become an attractive country to build technology businesses. We will work aggressively with Microsoft to reverse this on appeal.

"The report's conclusions are a disservice to UK citizens, who face increasingly dire economic prospects. We will reassess our growth plans for the UK. Global innovators large and small will take note that - despite all its rhetoric - the UK is clearly closed for business."

Sorry but Activision can bugger off. First, the CMA has nothing to do with the UK governmental policy on business development in the UK, their job isn't that, but Activision maybe should take note that in the recent budget, UK government were increasing tax breaks for games development, to become an attractive country to build technology businesses, in this case specifically games development. At least MS has the decency to seemingly address the concerns and not just cry.

Crying because you didn't get your pay day.

Ikr? Megacoporations concerned for the regular people well-being. How about you close that Puerto Rico subsidiary through which you avoided paying taxes on 40 billion dollars and stop lobbying to defund the IRS and answer to them the way regular people do. Just pay your taxes like we do and then pretend to show concern. 

Activision’s UK division faces HMRC investigation over diverted profits

Story by Matthew Field • 1st of May 2023

Adivision of US gaming giant Activision Blizzard, which last week accused Britain of being “closed for business”, is facing an investigation by the taxman that has already forced it to cough up tens of millions of pounds.

A UK subsidiary of the Call of Duty developer disclosed in its most recent accounts that it had “settled tax liabilities” worth $31m (£25m) with HMRC and was facing further questions over diverted profits and “transfer pricing” arrangements.

Activision’s UK mobile gaming company paid £25m in settlements in 2020, while discussions over further tax matters dating from 2016 to 2020 were ongoing as of the signing of its accounts in September last year. 

The business reported profits of $469m in the year ending December 2021, paying $11.7m in total taxes.

According to Blizzard’s US filings, the company is engaged in a “collaborative multilateral process with tax authorities” in the UK and Sweden over its King division.

In February this year, HMRC disclosed it was “currently carrying out around 100 reviews into multinationals with arrangements to divert profits… the total amount of tax under consideration in these cases was £2.4bn at the end of March 2022”.

https://www.msn.com/en-gb/money/other/activisions-uk-division-faces-hmrc-investigation-over-diverted-profits/ar-AA1aAE8q

Oh the so very concerned about the consumers. A shame the hilarity of MS/ABK statements is not being challenged, named or shamed as they should be. 



LurkerJ said:
LurkerJ said:

Ikr? Megacoporations concerned for the regular people well-being. How about you close that Puerto Rico subsidiary through which you avoided paying taxes on 40 billion dollars and stop lobbying to defund the IRS and answer to them the way regular people do. Just pay your taxes like we do and then pretend to show concern. 

Activision’s UK division faces HMRC investigation over diverted profits

Story by Matthew Field • 1st of May 2023

Adivision of US gaming giant Activision Blizzard, which last week accused Britain of being “closed for business”, is facing an investigation by the taxman that has already forced it to cough up tens of millions of pounds.

A UK subsidiary of the Call of Duty developer disclosed in its most recent accounts that it had “settled tax liabilities” worth $31m (£25m) with HMRC and was facing further questions over diverted profits and “transfer pricing” arrangements.

Activision’s UK mobile gaming company paid £25m in settlements in 2020, while discussions over further tax matters dating from 2016 to 2020 were ongoing as of the signing of its accounts in September last year. 

The business reported profits of $469m in the year ending December 2021, paying $11.7m in total taxes.

According to Blizzard’s US filings, the company is engaged in a “collaborative multilateral process with tax authorities” in the UK and Sweden over its King division.

In February this year, HMRC disclosed it was “currently carrying out around 100 reviews into multinationals with arrangements to divert profits… the total amount of tax under consideration in these cases was £2.4bn at the end of March 2022”.

https://www.msn.com/en-gb/money/other/activisions-uk-division-faces-hmrc-investigation-over-diverted-profits/ar-AA1aAE8q

Oh the so very concerned about the consumers. A shame the hilarity of MS/ABK statements is not being challenged, named or shamed as they should be. 

This clown fiesta keeps giving us the goods



 

Update: UK governments respond to MS/ABK criticism? 

In a sneaky post by the British PM on LinkedIn, Sunak announced he's "cutting red tape" and this announcement includes the obvious right-wing buzz words like "de-regulations" and being "friendly to businesses" and targeting regulators. The statement in full can be read here (exclusively on a Microsoft-owned social platform, of all platforms). The following are some notable snippets:

    • 2. We’ll reform the Better Regulation Framework so that regulation is the last, not the first, response of government. This is game-changing in the way we approach British business as it ensures that regulation at the heart of government decisions is streamlined and forward-looking.    
    • 3. We’ll make sure regulators are laser-focused on prioritising economic growth by ensuring regulatory action is taken only when it’s needed. We expect all regulators to be working towards economic growth, so we’ll lead a consultation on refreshed guidance to help them achieve this. 
    • 5. We’ll encourage innovation, investment and growth by announcing two strategic policy statements to steer our regulators. This week we’ve published the first of three statements for consultation on energy policy. Next up is our strategic steer to the Competition and Markets Authority (CMA).
    • The reforms we are announcing this week represent an important change in approach and send a clear signal to regulators that our number one priority is growing the economy. 

Commenting on the package of measures, Business and Trade Secretary, Kemi Badenoch said:

    • “I have listened to the concerns of business of all sizes and have made it a priority to tackle the red tape that holds back UK firms, reduces their competitiveness in global markets and hampers their growth. We are taking back control of our laws after Brexit, reducing and improving regulation and giving businesses the freedom to do what they do best – sell innovative products, create jobs and grow the economy.”

However, Unite, the UK’s leading union slammed the announcement branded it a “boost for bad bosses”;

    • Unite general secretary Sharon Graham said: “The government so-called attack on red tape is nothing more than a boost for bad bosses and will pile more misery on workers. Removing the requirement for employers to record workers’ hours, means that the regulations effectively become unenforceable. Unscrupulous employers will use these emasculated regulations to exploit young or unorganised workers. Cutting red tape? More like a playbook for profiteering”
Last edited by LurkerJ - on 13 May 2023

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I am not surprised to read any of this, what surprises me is how little coverage this received by the British media, some small blogs/websites but nothing from The Guardian on this, for example, they're usually "on it" when it comes to criticising anything the Tories do or say. The fact that Sunak chose LinkedIn... I dunno how anyone can read this and not say this isn’t Sunak serving his Masters

As I mentioned repeatedly, the deal will close, 100%. What I am not sure of, however, is the fate of the CMA. I won't be surprised if other mega corporations like Apple are also lobbying the governments to stand up for this. Apple continues to stockpile cash that they may need to buy something with one day if their services require a little boost, a body like the CMA blocking them from acquiring Netflix, Disney, etc isn't a headache they want to remotely worry about if they don't have to.

This is the juiciest story to follow for sure, I can't wait to read MS appeal and Sunak's "strategic steer of the CMA"

Last edited by LurkerJ - on 13 May 2023

Won't someone please think of the economy!

It's all BS, we don't need mega corporations ruling over our lives. MS/Google/Amazon/Apple/Meta are already far too big with too many claws into governments worldwide. If this 'deal' closes the CMA, that would be another major loss for every day people.



LurkerJ said:

I am not surprised to read any of this, what surprises me is how little coverage this received by the British media, some small blogs/websites but nothing from The Guardian on this, for example, they're usually "on it" when it comes to criticising anything the Tories do or say. The fact that Sunak chose LinkedIn... I dunno how anyone can read this and not say this isn’t Sunak serving his Masters

As I mentioned repeatedly, the deal will close, 100%. What I am not sure of, however, is the fate of the CMA. I won't be surprised if other mega corporations like Apple are also lobbying the governments to stand up for this. Apple continues to stockpile cash that they may need to buy something with one day if their services require a little boost, a body like the CMA blocking them from acquiring Netflix, Disney, etc isn't a headache they want to remotely worry about if they don't have to.

This is the juiciest story to follow for sure, I can't wait to read MS appeal and Sunak's "strategic steer of the CMA"

I don't see Apple buying something as big as Disney anytime soon, the most they have ever spent on an acquisition is 3 billion for Beats audio.



SvennoJ said:

Won't someone please think of the economy!

It's all BS, we don't need mega corporations ruling over our lives. MS/Google/Amazon/Apple/Meta are already far too big with too many claws into governments worldwide. If this 'deal' closes the CMA, that would be another major loss for every day people.

Why exactly are you leaving Sony out of that group?



chakkra said:
SvennoJ said:

Won't someone please think of the economy!

It's all BS, we don't need mega corporations ruling over our lives. MS/Google/Amazon/Apple/Meta are already far too big with too many claws into governments worldwide. If this 'deal' closes the CMA, that would be another major loss for every day people.

Why exactly are you leaving Sony out of that group?

I don't think Sony is as big as MS/Google/Amazon/Apple/Meta...