The acquisition of Activision by Microsoft in the US could work

The acquisition of Activision by Microsoft in the US could work

San Francisco, 7/11/2023

A US federal judge has denied the FTC’s request to block Microsoft’s $68.7 billion purchase of Activision Blizzard, allowing the mega deal to go ahead as planned. The acquisition, the largest transaction in gaming to date, could potentially close by the July 18 expiration date.

In its decision, Judge Jacqueline Scott Corley found that the FTC could not show that the merger would significantly impair competition in the gaming markets or result in the withdrawal of games from Sony PlayStation, a competitor to Microsoft’s Xbox. The FTC has until Friday to appeal the decision.

The ruling also suggests that negotiations in the UK, where the merger had previously been blocked, may go in Microsoft’s favour.

According to the Financial Times, the UK competition regulator has signaled a willingness to discuss the merger and is open to considering revised proposals from Microsoft.

However, if Microsoft wants to close the deal before the July 18 deadline, it could mean defying the blockade of the UK competition authority, which is the only remaining antitrust authority to have officially challenged the acquisition.

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