FTC Fails to Block Microsoft's Activision Blizzard Deal

May 12,25

Microsoft has achieved another legal triumph over the Federal Trade Commission (FTC) in its efforts to finalize its acquisition of Activision Blizzard. The FTC's appeal to block Microsoft's monumental $69 billion deal was denied by San Francisco's 9th U.S. Circuit Court of Appeals, marking a significant step forward for a purchase that was originally announced in late 2022, as reported by Reuters. This decision was made by a three-judge panel, effectively concluding the FTC's challenge against the July 2023 decision that permitted Microsoft to proceed with the acquisition.

The acquisition of Activision Blizzard by Microsoft has been under intense scrutiny for over three years. Early opposition came from select U.S. Senators who expressed concerns about the growing consolidation in the tech industry, as Microsoft expanded its portfolio with major acquisitions. Both competitors and gamers raised worries that such a move might restrict popular franchises like Call of Duty to Xbox platforms only. However, Microsoft alleviated these concerns by confirming it had no interest in barring certain franchises behind lengthy exclusivity periods.

Every Video Game Franchise Xbox Owns After Acquiring Activision Blizzard

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Despite ongoing challenges throughout 2023, Microsoft successfully completed its purchase of Activision Blizzard in October of the same year. The FTC's appeal represented a potential late obstacle to normal business operations, but with its efforts now thwarted, it appears that the regulatory pursuit has come to an end.

For a comprehensive timeline detailing Microsoft's journey to finalize its acquisition of Activision Blizzard, please click here.

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