The UK’s analysis was highly speculative and not that persuasive to me as an antitrust economist.
I don’t think this is likely a good merger for consumers due to the possibility that Microsoft would foreclose PlayStation users. But the EU’s reasoning in terms of “damage to future competition in a sector which might exist but currently doesn’t” was really unpersuasive.
I don’t know UK competition law that well but if they can appeal and the law is like US law then I would imagine they have a good chance at getting the merger approved in the UK.