Report: Feds 'Likely' To Fight Microsoft's Purchase Of Activision Blizzard [Update] – Yahoo Finance
Politico is reporting that, “according to three people with knowledge of the matter,” the Federal Trade Commission is “likely to file an antitrust lawsuit to block Microsoft’s $69 billion takeover of video game giant Activision Blizzard.”
The FTC, emboldened by their recent success in stopping the merger of book publishers Penguin Random House and Simon & Schuster, have made no official announcement yet, and the Politico report says “a lawsuit challenging the deal is not guaranteed.”
Judge Recommends Prison Camp for Theranos Founder Elizabeth Holmes
U.S. Navy Forced to Pay Software Company for Piracy
This Sports Anime Is <em>Captain Tsubasa</em> Meets <em>Squid Game</em>
Bidding Adieu to Whatever This Was
What Not to Do on a Long Airport Layover
Steps are, however, being made to prepare one, with “much of the heavy lifting” having already been done, like receiving depositions from the bosses of Microsoft (Satya Nadella) and Activision Blizzard (Bobby Kotick). Because of this, it’s said that “if the agency does move ahead with a case, it could come as soon as next month.”
Any antitrust case would have a fairly clear goal: the FTC would be arguing that allowing a major platform holder to purchase Activision Blizzard, one of the world’s biggest third-party publishers, would give Microsoft an unfair advantage in the marketplace.
That argument, and process, is already underway in Europe. Earlier this month, the European Union “opened a full-scale investigation” into the proposed deal, saying in a statement:
The Commission’s preliminary investigation shows that the transaction may significantly reduce competition on the markets for the distribution of console and PC video games, including multigame subscription services and/or cloud game streaming services, and for PC operating systems.
The preliminary investigation suggests that Microsoft may have the ability, as well as a potential economic incentive, to engage in foreclosure strategies vis-à-vis Microsoft’s rival distributors of console video games.
In the United Kingdom, meanwhile, the Competition and Markets Authority is also investigating the deal, saying the merger “may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services.”
Interestingly, the Politico report also mentions Google as a “lesser” opponent of the merger, saying, “The company has argued that Microsoft has purposely degraded the quality of its Game Pass subscription service when used with Google’s Chrome operating system, and owning Activision would further its incentive to do so, ultimately steering hardware sales towards Microsoft and away from Google.”
UPDATE 10:00pm ET: An Activision spokesperson tells Kotaku:
Any suggestion that the transaction could lead to anticompetitive effects is completely absurd. This merger will benefit gamers and the U.S. gaming industry, especially as we face increasingly stiff competition from abroad. We are committed to continuing to work cooperatively with regulators around the globe to allow the transaction to proceed, but won’t hesitate to fight to defend the transaction if required.
More from Kotaku
Your Gmail Account Has Unlimited Addresses
11 Psychology Terms You’re Misusing, According to Psychologists
This Simple USB Dongle Could Help the Average Person Type 600% Faster
New York Becomes First State to Temporarily Ban Some Crypto Mining
Chris Hemsworth says it’s time for another “drastically different” version of Thor
Sign up for Kotaku’s Newsletter. For the latest news, Facebook, Twitter and Instagram.
Click here to read the full article.
Microsoft failed to convince the FTC staff reviewing the deal with its arguments, 'Politico's' sources said, but the agency's commissioners have yet to vote on filing a complaint or to meet with lawyers.
New Prairie will play in its first state football game since 2014
Black Friday brings some of the deepest discounts of the year for all sorts of tech products—and apps are no exception. If you’ve been holding off on buying any pricey paid, it’s worth taking another look this week. It might just be the perfect time to tap “Buy.”
Kinsale Capital Group, Inc. (KNSL) is well positioned to outperform the market, as it exhibits above-average growth in financials.
(Reuters) -A major investor in News Corp and Fox Corp, Independent Franchise Partners, said on Wednesday it opposes Rupert Murdoch's plan to recombine the companies, raising a potential obstacle to the mogul's desire to reunite the media empire he separated nearly a decade ago. The London-based investment firm told a special committee of News Corp's board last month that it thinks a combination on its own would fail to realize the full value of the company. Independent, which owns about 7% of News Corp's Class A shares and 6.4% in Fox Corp, is the second investor to express dissent over the plan.
Owner and Chief Executive Officer Elon Musk wants Twitter to view Japan as a model for other markets instead of the U.S. In an all-hands meeting on Monday, Musk said Japan’s strong usage of Twitter is what the platform should aim for “ideally in every country without exception,” according to The Verge. “It may seem as though Twitter is U.S.-centric but if anything it’s Japan-centric,” Musk reportedly told employees.
A Los Angeles police officer violated policy when he fired a rifle at a suspect inside a clothing store last year, killing a 14-year-old girl in a dressing room, a civilian oversight board ruled Tuesday. Officer William Dorsey Jones Jr. fired three times when police responded to a Burlington clothing store in the San Fernando Valley where 24-year-old Daniel Elena Lopez had brutally attacked two women on Dec. 23, 2021. Valentina Orellana Peralta was shot and killed as she prayed in a dressing room with her mother, Soledad Peralta.
A London-based investor in Rupert Murdoch’s News Corp. and Fox Corp. has reportedly expressed its opposition to the companies’ potential reunification. Independent Franchise Partners is one of the largest shareholders apart from the Murdoch family, with stakes in Fox and News Corp. of more than 7%. The companies confirmed several weeks ago they were formally […]
Officials told FOX 5 Atlanta they believe protestors with the "No Cop City" movement are responsible for the break-in.
Newly returned Disney CEO Bob Iger notified employees on Monday of his plans to "restructure thingsc," in a memo obtained by Fox Business.
(Bloomberg) — Morgan Stanley Private Equity Asia is considering selling Chinese financial education company Coinage International, according to people familiar with the situation.Most Read from BloombergElizabeth Holmes Judge Proposes Texas Prison, Family VisitsTrump Had Losses of $900 Million in Two Years, Jury ToldHow Bad Will Housing Get? The Chill Gripping a Once-Hot Market Offers a TestBankman-Fried Says Collateral Crashed by $51 Billion as FTX FellThe buyout firm could seek a valuation of
There is a considerable likelihood that the Ukrainian capital might face the worst case scenario – no power, water and heating – if Russian missile attacks continue, city mayor Vitaliy Klitschko said in an interview with BBC News Ukraine on Nov. 24.
To find a multi-bagger stock, what are the underlying trends we should look for in a business? Amongst other things…
Pre-library policy, Central Bucks School District had no standards on sexually explicit content other than the extremely low bar of criminal laws.
Microsoft Corp (NASDAQ: MSFT) agreed to buy a massive amount of clean energy to power a data center in Ireland, Bloomberg reports. Statkraft AS, Europe’s largest generator of renewables, will provide Microsoft with 366 megawatts of wind and solar energy, marking the supplier’s first power-purchase agreement in Ireland. The financial terms of the deal remain undisclosed. The renewable power for Microsoft in Ireland will come from six projects, including three wind and three solar located across t
Activists say Elon Musk broke a promise when he let Donald Trump, who was banned following the Jan. 6th attack on the U.S. Capitol, back on the platform after conducting a "flimsy" poll
"We are committed to continuing to work cooperatively with regulators around the globe to allow the transaction to proceed, but won't hesitate to fight to defend the transaction if required," an Activision Blizzard spokesperson said. Shares of Activision fell about 2% in extended trading after closing 1% higher. Microsoft, maker of the Xbox game console, announced in January the deal to buy Activision, the maker of "Call of Duty" and "Candy Crush" games, in the biggest gaming industry deal in history as global technology giants staked their claims to a virtual future.
Meta Platforms, Inc (NASDAQ: META) responded to the German cartel office's concerns by allowing the use of its virtual reality headset without a Facebook account. In late 2020 the Bundeskartellamt initiated a proceeding against Meta for making the use of Oculus conditional on the existence of a Facebook account. Bundeskartellamt closely watched Meta since May when it declared it was of "paramount significance for competition across markets," a classification that gives the regulator more scope t
Fima Corporation Berhad ( KLSE:FIMACOR ) Second Quarter 2023 Results Key Financial Results Revenue: RM67.3m (down 12…
Ignoring the stock price of a company, what are the underlying trends that tell us a business is past the growth phase…