The Green Light
The UK's competition watchdog, the Competition and Markets Authority (CMA), has given its approval to Microsoft's £55billion takeover of gaming giant Activision Blizzard. The approval comes after the firms agreed to sell "cloud gaming" rights to French rival Ubisoft. Microsoft owns the Xbox games console while Activision makes games including Call Of Duty and Candy Crush.
A Block and a Furious Response
The CMA had initially blocked the mega-merger, which sparked a furious response from Microsoft and Activision Blizzard, who accused the UK of being "closed for business". This decision came at a critical moment for the UK Government, which is seeking to attract more technology investment to compete with Silicon Valley.
Addressing Concerns
CMA boss Sarah Cardell expressed concerns about Microsoft having a "stranglehold" over cloud gaming, where games are streamed rather than downloaded. Despite European regulators approving the deal, Cardell rebuked Microsoft for previously ignoring the CMA's advice and criticized their engagement tactics.
Positive Response
Microsoft president Brad Smith expressed gratitude for the CMA's thorough review and decision. Activision also welcomed the approval and looks forward to becoming part of the Xbox Team.
Burger King to Open 60 New Sites in the UK
Growth on the Menu
Burger King has announced plans to open 60 new sites in the UK over the next two years. Sales for the fast-food chain rose by 39% to £294.5million last year, following the addition of 32 new sites and the acquisition of 74 sites from a franchise partner. Burger King highlighted the importance of online deliveries and click-and-collect as significant sales channels.
Increase in Company Collapses Since the Financial Crisis
A Troubling Trend
The number of company collapses in the UK this year is on track to be the highest since the 2007–2008 financial crisis. According to The Insolvency Service, 1,967 firms went bust in September, marking a 16.5% increase compared to the previous year. This figure is also 30% higher than pre-pandemic levels, indicating a concerning trend.
Next Boss Completes £115million Takeover of Fat Face
Expanding the Empire
The takeover of fashion rival Fat Face by Next boss Lord Wolfson for £115million adds another brand to the growing retail empire of Next. This move reflects Next's ongoing expansion efforts in the fashion industry.
Travis Perkins Slashes Profit Forecasts
A Construction Slowdown
Travis Perkins boss Nick Roberts has reduced profit forecasts, signaling a slowdown in the construction sector. This development is indicative of the challenges currently faced by the industry.
