UK Regulators Launch Antitrust Investigations into MS Activision Acquisition and Amazon Marketplace

[Asia Economy New York=Special Correspondent Joselgina] The UK has tightened regulations on big tech by launching an antitrust investigation against Microsoft (MS) and Amazon.

According to the Wall Street Journal (WSJ) and others, the UK Competition and Markets Authority (CMA) announced on the 6th (local time) that it has initiated investigations into MS's proposed acquisition of video game company Activision Blizzard and Amazon's e-commerce business practices.

The CMA confirmed that it is investigating whether MS's acquisition of the well-known game company Activision, which owns titles such as 'Call of Duty' and 'World of Warcraft,' would harm market competition. In the United States, the Federal Trade Commission (FTC) has already launched a related investigation.

Lisa Tanzi, MS Vice President, stated in a press release, "We will cooperate with the authorities' investigation," adding, "This acquisition will benefit both video game users and the industry."

WSJ reported that this investigation is part of a series of inquiries that strengthen the UK's status as a global regulatory authority over the IT industry. Since the UK's departure from the European Union (EU), the CMA has been actively investigating big tech companies based in Silicon Valley, USA. Nicolas Petit, a professor of competition law at the European University Institute in Italy, said, "One of the effects of Brexit that people don't talk about is the UK returning as a regulatory gatekeeper."

The regulatory authorities plan to announce the preliminary investigation results on MS's acquisition of Activision by September 1.

Alongside this, the CMA stated on the same day that it is investigating whether Amazon unfairly exploited its dominant position and data collection practices to boost its own business by sacrificing external sellers operating on its platform. The focus of this investigation is on how Amazon collected and used non-public data from external sellers.

Additionally, the CMA confirmed it will investigate how the criteria for selecting priority sellers in Amazon's search results are determined, and which products are eligible for Prime, the expedited shipping service for paid membership subscribers. An Amazon spokesperson said, "We will work closely with regulatory authorities during the investigation process," and added, "We believe we have always worked hard for the success of small businesses within the platform."