FTC has filed to block Microsoft and Activision's acquisition deal
Topics: Microsoft, Activision, Activision Blizzard, Xbox
Featured Image Credit: Microsoft/Activision
Topics: Microsoft, Activision, Activision Blizzard, Xbox
It seems that Microsoft’s proposed acquisition of Activision Blizzard cannot catch a break with its latest setback.
Microsoft first made it known to the public back in January 2022 that it intends to acquire Call of Duty, Diablo and World of Warcraft publisher Activision Blizzard in a deal said to be worth an eye-watering $68.7 billion. By now, well over a year later, it would be safe to assume that the deal would have been concluded. Alas, here we are in 2023 and it seems the deal is no closer to being sealed. Despite various market regulators across the world approving the deal, the US and UK have made their concerns known.
Despite reports making the rounds that the deal was on the verge of being completed, the UK threw a spanner into the works raising concerns over the grip Microsoft would have over cloud technology, should it acquire Activision Blizzard. Microsoft plans on appealing the decision made by market regulator CMA, however, should that appeal be declined it could set the green brand back by 10 years should it want to make another proposal. In an attempt to work around the UK’s restrictions, the possibility of pulling Activision games from the region has not been ruled out.
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Yet, in another twist in the tale, The Verge reports that the FTC in the US is seeking a temporary restraining order and an injunction to block Microsoft’s Activision Blizzard takeover. “Both a temporary restraining order and a preliminary injunction are necessary because Microsoft and Activision have represented that they may consummate the proposed acquisition at any time,” reads the complaint from the FTC.
The FTC is concerned that Microsoft will continue to seal the deal with the deadline fast approaching on 18 July, despite the block in the UK. This is perhaps a reason to be concerned that Microsoft may actually pull Activision titles from the UK after all. Whatever happens in the coming weeks, don’t be surprised if there’s yet another hurdle in the road as Microsoft relentlessly tries to push the deal through. For all our sakes, let’s hope it’s resolved for the good of the video game fan base.