On December 7, Microsoft executives met with the chairmen of the US Federal Trade Commission to finally justify their deal with Activision Blizzard and prove that it would not harm competition in the gaming market. The corporation’s arguments proved insufficient, and the US FTC refused to approve the $67 billion acquisition of the publisher.
On the evening of December 8, the SEC announced its decision to sue Microsoft in court where it would try to block the deal entirely.
After studying the arguments of the parties, the regulators concluded that the purchase of Activision Blizzard would allow Microsoft to suppress its competitors and harm the market for consoles, subscription services and cloud platforms.
Experts have noted that the risk of Call of Duty becoming an Xbox exclusive franchise will continue to exist regardless of what Phil Spencer’s team says today. Microsoft has previously bought Bethesda and a number of other studios, and their games, such as Starfield and Redfall, will not be released on PlayStation, the statement said.
“Microsoft has decided to make several Bethesda games, including Starfield and Redfall, exclusive to its ecosystem, although it has previously assured European antitrust authorities that it has no incentive to refuse to sell games on competing consoles.
Supporters of the Microsoft and Activision Blizzard deal will have to testify under oath. The fact that it’s a lawsuit doesn’t mean that the deal is gonna fail, but it does increase the chances. Earlier, it was through the court that NVIDIA’s attempt to buy Arm was blocked.