Beautiful Virgin Islands

Saturday, Sep 14, 2024

The FTC is suing to block Microsoft's $68.7 billion purchase of Activision Blizzard

The FTC is suing to block Microsoft's $68.7 billion purchase of Activision Blizzard

Responding to the FTC's legal challenge, Activision Blizzard CEO Bobby Kotick said calling the deal anti-competitive "doesn't align with the facts."
The Federal Trade Commission is suing to stop Microsoft from buying Activision Blizzard.

The agency issued a complaint Thursday seeking to block the acquisition, saying the deal "would enable Microsoft to suppress competitors to its Xbox gaming consoles and its rapidly growing subscription content and cloud-gaming business." 

The $68.7 billion deal is Microsoft's largest, not to mention the biggest in the video game industry.

"Microsoft has already shown that it can and will withhold content from its gaming rivals," said Holly Vedova, Director of the FTC's Bureau of Competition, in a press release. "Today we seek to stop Microsoft from gaining control over a leading independent game studio and using it to harm competition in multiple dynamic and fast-growing gaming markets."

Microsoft president and vice chair Brad Smith addressed the FTC's legal challenge in a tweet shortly after it was announced.

"We continue to believe that this deal will expand competition and create more opportunities for gamers and game developers," he said. "We have been committed since Day One to addressing competition concerns, including by offering earlier this week proposed concessions to the FTC. While we believed in giving peace a chance, we have complete confidence in our case and welcome the opportunity to present our case in court."

Activision Blizzard has 154 million monthly active users worldwide, according to the FTC. It's known for blockbuster franchises like Call of Duty and World of Warcraft.

The FTC's complaint highlighted Microsoft's history of gaming acquisitions, including its purchase of ZeniMax, saying Microsoft made titles like "Starfield" exclusive to Xbox after purchasing other gaming companies and assuring European antitrust regulators that it had no incentive to lock games to the console.

Shortly after the companies announced the deal in January, Smith and Xbox head Phil Spencer both vowed Call of Duty wouldn't leave PlayStation as a result of the deal.

In a letter to employees Thursday, Activision Blizzard CEO Bobby Kotick reiterated his "confidence" that the deal will go through.

"The allegation that this deal is anti-competitive doesn't align with the facts, and we believe we'll win this challenge," Kotick wrote. "The competitive landscape is shifting, and, simply put, a combined Microsoft-ABK will be good for players, good for employees, good for competition and good for the industry. Our players want choice, and this gives them exactly that."
Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Royal Navy's First 'Narco-Sub' Drug Seizure in the Caribbean
Northern Lights Illuminate Skies Over the UK
Citizens' Jury Supports Change in Assisted Dying Law
Russia Can End the War Now, Says PM as Putin Warns West
SpaceX Polaris Dawn Crew Makes History With First Private Spacewalk
Jon Bon Jovi Heroically Rescues Woman on Nashville Bridge
Fragmented EU Defence Industry Needs Urgent Coordination
Keir Starmer Accused of Concealing Impact of Winter Fuel Payment Cuts on Pensioners
Keir Starmer Urged to Publish Winter Fuel Payments Impact Assessment
Ex-CIA Officer Sentenced to 10 Years for Espionage
UK Economy Stalls for Second Consecutive Month
Downing Street to Begin Search for New Cabinet Secretary
UK Government Introduces Bill to Ban Rental Bidding Wars
Scottish Opposition Questions Cuts to Free School Meals and Rail Fares
NHS Delays in England Cause Thousands of Unnecessary Deaths, Inquiry Reveals
NHS Restricts Obesity Services across England, Investigates BMJ
Bill Gates Warns of Imminent Threats: War and Pandemics
Over One Million UK Carers Living in Poverty
Equitable Future Threatened by Climate Crisis and Consumerism
Calls for Inclusive and Diverse Stories in UK English Curriculum
UK Government Confirms £500m Subsidy for Tata Steel
Chancellor Rachel Reeves Warns of Tough Budget Ahead
Unions Fear Labour's Net Zero Plans Will Cost Jobs
PM to Address Critical NHS Report Demanding Reforms
Kamala Harris Wins Post-Debate Survey Against Donald Trump
Impact and Aftermath of 9/11 Attacks on the US and the World
Iran Denies Missile Deliveries to Russia Amid New Sanctions
Kamala Harris Claims to Own Guns, Denies Supporting Mandatory Buyback—Yet Said the Opposite Weeks Ago
Outrage in Uxbridge: 12 Police Officers Arrest Woman Over a Sandwich, Then Arrest Bystander for Swearing
Polaris Dawn: Historic Private Spacewalk Initiated
Sir Paul Marshall Acquires The Spectator for £100 Million
Neighbours Criticise Germany Over Extended Border Controls
Mazan Village in Shock Over Mass Rape Trial
Harris Commands Debate Against Trump
Wealthy Nations Criticized for Hypocrisy on Climate Protests
Controversial Netanyahu Documentary Premieres in Toronto
Labour's Winter Fuel Cut Passes Amid Controversy
Germany's New Border Controls: A Threat to EU Unity?
Global Religious Groups Spend Billions to Undermine Gender-Equality Education
Dave Grohl Announces Birth of Baby Girl
Brigitte Macron to Make Cameo in Netflix's Emily in Paris
Olympic Medals Stolen from Australian Rower's Car in Melbourne
Russia Receives Iranian Ballistic Missiles for Use in Ukraine
US and Europe Consider Easing Restrictions on Ukraine's Long-Range Strikes
Brazilian President Visits Amazon Amid Severe Drought and Wildfires
Concerns Raised Over Early Release of Prisoners
Labour Special Advisers Join Union Over Pay Concerns
NHS Trust Admits Contaminated Feed Caused Baby's Death After Decade of Denial
Dubai Conference Cancels Talk by Ex-Children’s Hospital Doctor Under Investigation
Manchester Adopts 'Housing First' to Combat Rough Sleeping
×