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FTC tries to block Microsoft Activision deal

FTC tries to block Microsoft Activision deal

The US Federal Trade Commission (FTC) has asked a federal district court to block Microsoft's acquisition of Activision Blizzard.

As reported by The Verge, the complaint seeks a temporary restraining order and an injunction from the Northern District court of California San Francisco division. This comes in the wake of the FTC filing a legal challenge to block the deal in December of last year.

The organisation has moved to try to block the deal with an injunction because it fears Microsoft and Activision might complete the deal anyways.

“We welcome the opportunity to present our case in federal court,” Microsoft VP and president Brad Smith said.

“We believe accelerating the legal process in the US will ultimately bring more choice and competition to the market.”

Activision Blizzard boss Bobby Kotick added: "This is a welcome update and one that accelerates the legal process. We will now have the opportunity to more quickly present the facts about our merger, which:

"Supports our hundreds of millions of players

"Helps protect American workers

"Provides increased shareholder value for the millions of people whose retirement savings and pension benefits will increase as a result of the acquisition

"Enables two American companies to more effectively compete against the global competitors that dominate the video game industry around the world

"Our excellent legal team has been preparing for this move for more than a year, and we're ready to present our case to a federal judge who can evaluate the transaction on the merits.

"The facts are on our side, and we will continue to keep you updated throughout the process.

"As I’ve said before, we're in a strong position because of your dedication and hard work. I take deep pride in our continued success, and I hope you do as well. Thank you for your hard work and excellence."


PCGamesInsider Contributing Editor

Alex Calvin is a freelance journalist who writes about the business of games. He started out at UK trade paper MCV in 2013 and left as deputy editor over three years later. In June 2017, he joined Steel Media as the editor for new site PCGamesInsider.biz. In October 2019 he left this full-time position at the company but still contributes to the site on a daily basis. He has also written for GamesIndustry.biz, VGC, Games London, The Observer/Guardian and Esquire UK.