Microsoft and Activision Blizzard have extended the deadline for their proposed merger.

The two parties' self imposed deadline was originally set for Tuesday (18.07.23), which would have seen Microsoft own the company $3 billion.

However, Xbox chief Phil Spencer has confirmed the new deadline of October 18 later this year.

He tweeted: "Microsoft and Activision Blizzard have extended the merger agreement deadline to 10/18.

"We're optimistic about getting this done, and excited about bringing more games to more players everywhere."

The big factor in the delay is ongoing issues with CMA in the UK, which blocked the deal over concerns about a cloud gaming monopoly.

Last week, the organisation extended its own deadline regarding a final decision in order to consider a fresh "detailed and complex" proposal from Microsoft.

The CMA's revised deadline is now August 29.

In a statement on Twitter, Activision Blizzard's CCO and EVP of corporate affairs Lulu Cheng Meservey said: "The recent decision in the US and approvals in 40 countries all validate that the deal is good for competition, players, and the future of gaming.

"Given global regulatory approvals and the companies' confidence that CMA now recognises there are remedies available to meet their concerns in the UK, the Activision Blizzard and Microsoft boards of directors have authorised the companies not to terminate the deal until after October 18.

"We're confident in our next steps and that our deal will quickly close."