Microsoft Corporation (NASDAQ:MSFT) is likely to receive an EU competition warning about its US$69bn bid for 'Call of Duty' game maker Activision Blizzard, according to Reuters.
Citing sources, the news report said the European Commission is preparing a charge sheet, known as a statement of objections, setting out its concerns about the deal which will be sent to Microsoft in the coming weeks as the deal continues to face a number of hurdles.
The EU competition watchdog, which has set an April 11, 2023, deadline for its decision on the deal, declined to comment.
Reuters reported Microsoft as saying: "We're continuing to work with the European Commission to address any marketplace concerns. Our goal is to bring more games to more people, and this deal will further that goal."
The US tech giant and Xbox maker announced the acquisition of Activision in January last year but has since faced pressure from competition watchdogs in the US, UK and Europe.
Last week, the UK's Competition and Markets Authority (CMA) extended the deadline of its inquiry into the transaction until April 26, 2023, giving the government body more time to complete a report.
Last month, the US Federal Trade Commission (FTC) filed a lawsuit to block the deal alleging that it suppresses competition in the gaming industry.