Sina science and technology news Beijing time on September 23 morning news, according to reports, Microsoft CEO Satya Nadella (Satya Nadella) said that although the company $69 billion acquisition of Activision Blizzard transaction in the United Kingdom is facing an in-depth investigation by regulators, but he is confident that the deal will eventually get regulatory approval.
"Of course, any deal of this size will face scrutiny, but we are confident that it will be approved," Nadella said in a media interview.
Mr Nadella's forecast stands in stark contrast to investors' scepticism about the deal. While Activision's share price rose on Thursday, outperforming the day's tumbling tech stocks, it was still more than 20 per cent below Microsoft's offer price at Wednesday's closing price of $75.32 -- enough to suggest a high degree of scepticism that the company will be able to close the deal.
Nadella said Microsoft is either the fourth or fifth largest player in the entire video game industry, depending on where the data comes from. SONY, the No. 1 player, has made a number of acquisitions recently. "If it's about competition, let's compete." He said.
The Competition and Markets Authority (CMA) said earlier this month that it planned to launch a longer review. Indeed, such an outcome was anticipated when the CMA raised concerns that the deal could weaken competition in the console, subscription and cloud computing markets. Activision, which owns such blockbuster games as "Call of Duty," "World of Warcraft" and "Guitar Hero," would become the world's third-largest gaming company when combined with Microsoft.
Earlier this year, it was reported that Microsoft had slowed hiring and canceled many of its plans, also in its Azure cloud computing business and security software unit, as well as its Windows and Office divisions. Microsoft has added about 70,000 employees during the pandemic and will continue to expand in some areas, Nadella said.
"We will be more cautious." He said.
Microsoft would "use the same model to do more with less." "We have a lot of businesses that are performing well and can continue to grow, but we're also looking at the macroeconomic situation," Mr. Nadella said.
As Microsoft gets bigger and more efficient, he said, "we can deal with that."