The next title in the series is expected to be the biggest video game release ever.

The scandal has cast a spotlight on Singapore's success as a chip hub - and a location for alleged illicit trade.

Microsoft has apologised for the issue, which it said was due to a technical failure.

Experts say the event is a "stark reminder" of how heavily the world relies on a small group of big tech providers.

Scott Bessent told CNBC that several government agencies "were in favour of putting Megaspeed on the entity list for months".

Microsoft says it is continuing to restore services including Outlook and Teams following a global outage.