Another major regulator is looking to block the proposed Microsoft deal to acquire Activision Blizzard.
While the EU might be content to wave through Microsoft’s proposed deal to acquire the Call of Duty and Diablo 4 maker, the UK’s CMA has thrown a spanner in the works of late. Now you can add the US Federal Trade Commission (FTC) to the ‘against’ column.
After initially filing to block the deal in US courts back in December, the FTC is now seeking a temporary restraining order from a US federal district court to stop the deal from going through.
“Both a temporary restraining order and a preliminary injunction are necessary because Microsoft and Activision have represented that they may consummate the proposed acquisition at any time,” reads the request (via The Verge).
“Press reports began circulating suggesting that defendants were seriously contemplating closing the proposed acquisition despite the pending administrative litigation and the CMA orders”.
With the deal’s July 18 deadline fast approaching, the FTC clearly feared that Microsoft would force through the Activision Blizzard acquisition despite opposition from the UK Competition and Markets Authority.
Microsoft and Activision Blizzard, for their part, have indicated that such a legal move in the US might actually be positive for the prospective deal, as it will accelerate the process – assuming their various appeals are successful, of course.
The proposed $69 billion Activision Blizzard deal has faced strong opposition since it was announced, not least from Sony, which fears that the lucrative Call of Duty series will eventually become an Xbox exclusive.
Back in July, it emerged that the PS5 maker had filed a complaint in the Brazilian courts on the grounds that Microsoft owning the Call of Duty brand would “influence users’ choice of console”.
