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Microsoft announces new principles for app store and strives for regulatory approval for acquisition

Share with friends and circles of friends with wechat scanning QR code < / P > < p > February 10 news. On Wednesday, US local time, software giant Microsoft announced the new principles of the company's app store, which may help Microsoft be more friendly to external developers and seek regulatory approval for its $69 billion acquisition of Activision Blizzard, a video game publisher < p > Satya NADELLA, CEO of Microsoft, Brad Smith, President, and other company executives outlined these new principles at a news conference in Washington. The company's move shows that it supports the open app Markets Act recently submitted by US Senate legislators < p > Microsoft promises to treat all kinds of applications equally in its app store, and will not use the non-public information of the app store to compete with the applications of other developers, nor will it deliberately make its own applications rank higher than other applications. Windows users can still use other app stores or apps downloaded from the Internet < p > the company also said that developers will not be forced to use Microsoft's payment system for in app payment, which is the main argument between developers and app store managers. They criticized technology giants for charging high fees for app subscription and payment. Microsoft announced last September that with the release of windows 11, when developers use their own payment system, the app store will no longer require developers to share revenue with windows < p > Microsoft's move is also an attempt to win regulatory approval for the company's largest transaction in its history, namely the $68.7 billion acquisition of Activision Blizzard. According to people familiar with the matter, the US Federal Trade Commission (FTC) is handling the deal. At the same time, the transaction may also face opposition from overseas regulators < p > three weeks ago, Microsoft announced that it would acquire Activision Blizzard, which launched a series of games such as call of duty, candy crush, Diablo and world of Warcraft. This transaction will increase the number of Microsoft's game studios from 23 to 30 < p > if the deal is completed, it will also be the largest deal ever made by an American technology company. In recent years, regulators and legislators have shown more willingness to block transactions of overvalued technology companies. For example, in the UK last year, the competition and Markets Authority (CMA) ordered Facebook's parent company meta to spin off GIF website operator giphy < p > Jerry Nadler, chairman of the House Judiciary Committee, wrote on Twitter: "I expect Microsoft's deal with Activision Blizzard to be closely reviewed to ensure that it does not harm the interests or competition of American workers." Microsoft stressed that in terms of revenue, the merged company will rank third in the game industry, still second to Tencent and Sony < p > although Microsoft was under Antitrust pressure in the 1990s and early 21st century due to its dominant position in the windows operating system, under NADELLA's leadership, legislators and competition regulators paid less attention to it and spent more time reviewing meta, Amazon, apple and Google parent company alphabet. For example, the house and Senate bill could limit the way apple and Google operate mobile app stores < p > Microsoft president Smith pointed out that the deal needs to be approved by 17 regulators around the world. "We have to travel around the world to help local regulators understand the significance of this acquisition, the scope of the market, and perhaps most importantly, what Microsoft will do if we have the opportunity to play a greater role in the game field," he said < p > Smith also said that the company's executives would hold meetings with members of Congress and think tanks during their stay in Washington to appease them before regulators take action. "We recognize that any major acquisition being made by a large technology company will be subject to more scrutiny. We really should step forward quickly and proactively and explain in a very transparent way how we will manage this business and address the competitive issues and responsibilities we face," he said < p > Microsoft will benefit from legislation regulating app stores, although other technology giants, including apple and Google, strongly oppose the legislation. By acquiring Activision Blizzard, the company is more actively entering the field of game subscription. If proposals such as the open application market act eventually become law, Microsoft will be able to bring its subscription game services and even its own game app store to more devices, including those running Apple's operating system < p > in the past two years, the US regulators' review of competition in the technology industry has been escalating. US President Biden appointed a famous advocate of antitrust reform as a key law enforcement position. On the same day that Microsoft announced the above plan, FTC and the U.S. Department of justice held a press conference on strengthening M & A review < p > the deal raised concerns that Microsoft might gain a competitive advantage by providing the popular Activision Blizzard game exclusively to Xbox and its own devices. Smith clarified that the company promised to maintain the contract between Activision Blizzard and Playstation manufacturer Sony in call of duty games until 2024, and said it would extend the contract on a multi-year basis. He also said that Microsoft is interested in introducing Activision Blizzard games into Nintendo's devices < p > Microsoft's competitors criticized the company for accepting the above legislation. Kent walker, President and chief legal officer of global affairs of Google and its parent company alphabet, wrote on Twitter: "It's disappointing that Microsoft has lobbied so hard to enact a law against competitors, but has made Xbox an exception because Xbox has its own billing system, does not allow other app stores to load, and actually charges developers higher fees." < p > Smith responded that Microsoft plans to adjust the Xbox app store to adapt to all competition principles. However, due to technical constraints, this will take time. Sarah bond, vice president of Xbox's game ecosystem, said Microsoft wanted to achieve a "store in store experience", but this required innovation in technology and business models. (small) < / P > < p >


2023-03-22 10:04:50

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