Microsoft Signs 10-year Deal With Nware After UK Blocks Activision Deal

The decade long deal will allow the tech giant Microsoft to stream Activision Blizzard titles, days after Britain blocked its $69 billion buyout of the "Call of Duty" maker. The deal will also allow streaming of PC games built by Xbox on Nware's platform, according to a tweet from Microsoft's president Brad Smith on Friday.

"While it's still early for the emerging cloud segment in gaming, this new partnership combined with our other recent commitments will make more popular games available on more cloud game streaming services than they are today," Smith added.

On Wednesday, Britain's antitrust regulator blocked the deal over concerns it would hinder competition in cloud gaming, adding that Microsoft's commitment to offer access to Activision's multi-billion dollar "Call of Duty" franchise to leading cloud gaming platforms would not effectively remedy its concerns.

The Activision deal is the biggest involving technology companies that the Competition and Markets Authority (CMA) has blocked.

Europe will decide on the Activision deal by May 22. The U.S. Federal Trade Commission is also seeking to block it.

The agreement with the Spanish firm is the latest from Microsoft to bring "Call of Duty" and other Activision titles to other platforms. It had similar deals with Sony as well as Nintendo.

Activision Blizzard Inc. Chief Executive Officer Bobby Kotick called UK regulators’ decision to block Microsoft Corp.’s $69 billion acquisition of his company “irrational" and predicted the deal will ultimately win approval.

In a Bloomberg Television interview, Kotick didn’t say whether the companies would extend their purchase agreement beyond a July deadline. The pair are preparing their response to the UK decision, he said, adding, “I think the appeals process will work in our favor."