Microsoft has been having a bit of a rough go of it trying to get its Activision deal approved, and it seems there are more hurdles as the US is now filing to block the deal, BBC reports.
The US Federal Trade Commission in a statement has said that it wants the Activision deal to be blocked over concerns of it violating antitrust laws. The FTC being opposed to the deal and now filing to block it from approval should come as no surprise. US regulators have made it pretty clear that they don’t feel like the deal would be good for the industry. The FTC originally sought to block the deal back in December of 2022. Requesting that a judge block the deal based on claims it would violate antitrust laws.
Now, the FTC is seeking a preliminary injunction and a restraining order from a US federal district court. This would essentially allow the FTC’s case from its original filing in December to finish out. The case is supposed to start in August. But the FTC is concerned Microsoft may try to close the deal by July 18. So the restraining order would put the deal closing on hold for a couple of weeks. While the preliminary injunction would further halt the deal closing until after the case in August has a verdict.
US regulators want to see the Microsoft Activision deal squashed
Microsoft has argued that its Activision Blizzard deal would be good for players. Giving them more choice to play more games on the device of their choosing. But companies like Sony have argued that it has concerns Microsoft would withhold Activision’s most popular franchises, such as Call of Duty, from PlayStation. A concern that Microsoft has repeatedly addressed.
US regulators seem to agree with Sony’s concerns. The request for the restraining order and injunction also follow the UK’s CMA blocking of the deal earlier this year. While the EU has since approved the deal.