Microsoft-Activision merger to be appealed in the US.
Washington, DC - The Federal Trade Commission (FTC) has filed an appeal of a federal judge's decision to allow Microsoft to close its $69 billion merger with Activision Blizzard. The FTC argued that the merger would harm competition by giving Microsoft exclusive control over major video game titles such as "Call of Duty."
The judge's decision, which was issued on July 11, was a major victory for Microsoft. The company had been hoping to close the deal by July 18, but the appeal could delay the merger by several months.
The FTC's appeal is likely to be heard by the Ninth Circuit Court of Appeals. The court has a reputation for being skeptical of antitrust challenges, so it is possible that the FTC will be successful in blocking the merger.
However, Microsoft is likely to fight the appeal vigorously. The company has argued that the merger will actually benefit consumers by allowing Microsoft to invest more in new games and services.
The outcome of the appeal is uncertain, but it is clear that the Microsoft-Activision merger is facing significant legal challenges. The FTC is determined to block the merger, and Microsoft is determined to see it through. The case is likely to be closely watched by the video game industry and by antitrust experts around the world.
Here are some of the potential implications of the appeal:
- If the FTC is successful in blocking the merger, it would be a major setback for Microsoft. The company had been hoping to use the acquisition of Activision Blizzard to become a major player in the gaming industry.
- A successful appeal could also have a chilling effect on other mergers and acquisitions in the tech industry. Companies may be less likely to make large deals if they are concerned that they could be challenged by the FTC.
- The outcome of the appeal could also have implications for antitrust law in the United States. If the FTC is successful, it could make it more difficult for companies to acquire their competitors.
The Microsoft-Activision merger is a major antitrust case, and the outcome of the appeal is likely to have a significant impact on the tech industry. It will be interesting to see how the case unfolds in the coming months.