Taking on Microsoft gets even more complicated

Activision Blizzard’s acquisition is still experiencing a comeback. Microsoft could be taken to court over its purchase. From PlayStation or Nintendo?

Activision Blizzard’s acquisition process could be complicated for Microsoft. The FTC (Federal Trade Commission), the independent US agency whose role is to prevent any anti-competitive trade practices, could attack the giant.

Taking Activision Blizzard under FTC watch

At the rate things are going, there will be as much Activision Blizzard takeover news as episodes of Plus belle la vie (RIP little angel gone too soon? too late?). after playstationanother entity with far greater legal powers may stand in Microsoft’s way.

According to sources political, citing three people familiar with the matter, the FTC is likely to take legal action to block the purchase. If the agency were to go all the way through this process, it would be “The biggest step taken by the agency under Lina Khan’s presidency to limit the power of the world’s most important technology companies” can we read Nominated by Joe Biden in 2021, Lina Khan is known for her criticism of GAFAM’s dominant position. “antitrust heroin”.

For now, it should be understood that nothing is decided because the agency’s commissioners must vote in favor of an antitrust complaint, or choose to meet with the companies’ lawyers. So is the deal to buy Activision Blizzard about to fall apart?

A risky purchase? There are precedents

It is clear that we are not there and the very smart will be the one to say how this will all end, for better or for worse. As Politico explains, the FTC “appears” to have taken action, and if it goes any further, then a legal battle will begin, the outcome of which we obviously don’t know.

On the other hand, the US agency charged with enforcing consumer law and controlling anti-competitive trade practices has already achieved its goals. In 2021, she went to court to challenge ARM’s takeover from Nvidia as it considered that the acquisition was a brake on innovation and that it did not respect competition rules. Confident despite this setback, Nvidia finally gave up on the ARM acquisition in February 2022 due to “Significant regulatory challenges”.

The FTC’s next blow is that it has scuttled the settlement of Brenda, a virtual reality fitness app coveted by Meta. accused of wanting “to absorb the competition” in this market, Mark Zuckerberg’s company withdrew, avoiding a lawsuit. However, Facebook will be closely followed for its dominant position in the field of social networks. The company also owns Whatsapp and Instagram.

So we see that the rules have become extremely tough in a few years, and the extent of the acquisition of Activision Blizzard does not help Microsoft in its task.

Google also against Microsoft’s Activision Blizzard X merger?

If PlayStation, Nintendo and publishers have been heard in the context of the acquisition of Activision Blizzard by Microsoft, another actor would be ready to cut their throats: Google. The giant accuses Microsoft of deliberately degrading its quality Xbox Game Pass below Chrome.

If you missed the other revelations, you can consult This article where you will find more of our news on this topic.

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