In the ongoing litigation with the United States Federal Trade Commission over Microsoft’s $69 billion acquisition of Activision Blizzard, the court ruled in favor of Microsoft, the American tech giant. The ruling granted Microsoft a path forward and blocked the FTC’s request for a temporary injunction that would have paused the deal. The judge determined that the FTC had not supplied enough evidence to prove that the merger would lessen competition in the video game industry.
The case has drawn attention to potential competitive dynamics in popular gaming franchises. The FTC had asserted that the acquisition could influence the release and distribution of major titles, including those within Sony’s widely played Call of Duty series, potentially affecting Sony’s position in the market after the Activision Blizzard purchase.
Microsoft’s executives, including leaders from the company’s gaming unit, testified at the sworn proceedings, expressing confidence in their strategic approach and denying intentions to hinder titles or restrict access to content. The testimony aimed to reassure regulators that the merger would not dampen consumer choice or innovation.
Looking ahead, Microsoft faces the task of securing regulatory clearance from the United Kingdom’s competition authorities. In a recent decision, the UK antitrust body indicated concerns about the transaction, labeling it as a major deal in the gaming space, which requires careful scrutiny.
European regulators have given conditional approval, requiring two key commitments. First, Microsoft must ensure that Activision Blizzard titles are accessible to all European Union consumers on any platform. Second, the company must license the games and related services to European firms to support broader competition and consumer choice across the region.
Earlier disclosures suggested that the Call of Duty development ecosystem could see changes in how it interacts with Sony’s platforms, raising questions about cross-platform access and licensing deals as the deal proceeds through various regulatory channels. Attribution: ongoing coverage by major outlets and official regulatory statements summarized for context.