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Following the publication of Microsoft’s second quarter fiscal 2022 results;
David Bicknell, Principal Analyst in the Thematic Research Team at GlobalData, a leading data and analytics company, offers his view:
“Microsoft’s latest results were overshadowed by its $69 billion acquisition of Activision Blizzard. Tech acquisitions are now under increasing regulatory scrutiny, so getting the biggest deal in tech history past the regulators will increasingly dominate the narrative around Microsoft.
“Microsoft has made a string of acquisitions in recent years, including speech-to-text software company Nuance. Although the Nuance deal has been cleared in the EU and US, it has yet to be cleared by the UK’s Competition and Markets Authority, and a decision on a further investigation may not come until March 2022.
“Microsoft can expect even greater regulatory scrutiny for its massive Activision Blizzard deal and constant chatter about the possible outcome. It will be expected to provide a running commentary on the deal’s progress, just as Nvidia has over its protracted pursuit of Arm.”