Federal Trade Commission

Microsoft is prepared to put up a battle in order to secure its blockbuster arrangement with Activision. This follows the filing of a lawsuit against Microsoft by the Federal Trade Commission (FTC). It asserts that the transaction violates antitrust laws and grants Microsoft an excessive amount of influence over the access that consumers have to the video gaming industry. The merger would be the most significant of its kind ever attempted. It would bring together Microsoft, the company that makes the Xbox systems, and Activision, the company that makes Call of Duty. As per the reports, ten gamers from the states of California, New Mexico, and New Jersey have taken legal action in an effort to prevent the USD 69-billion-dollar purchase from going through. Because of their concern that the price of their favorite games may experience a significant increase as a result of the merger, they have decided to file a lawsuit against Microsoft for allegedly violating anti-trust law. Plaintiffs cite Activision Blizzard as a vital competitor in their case, stating that the company is a major driver of pricing competitiveness and industry-wide innovation. If the acquisition is authorized, it is possible that the general public may sustain losses and damages as a result. A spokesman for Microsoft told Ars that this agreement will increase the amount of competition in the industry as well as the number of chances available to gamers and game developers. "We want to bring more games to more people," the spokesperson said. The Federal Trade Commission, on the other hand, seems to be more on board with the gamers' position, as it pointed out in a news release that "Microsoft's record of acquiring and utilizing valuable gaming content to limit competition from competing consoles." In the press release, the director of the FTC's Bureau of Competition issued a warning, stating that Microsoft has previously demonstrated that it would withhold material from its competitors in the gaming industry.

Microsoft Sued by Call of Duty Gamers