FTC challenges Microsoft’s Activision deal

The US Federal Trade Commission is challenging Microsoft’s US$69 billion acquisition of Activision Blizzard, opening an administrative case on 8 December.

The agency says owning franchises including Call of Duty could let Microsoft restrict rival consoles, subscription services and cloud gaming. Its concerns include pricing, release timing and access to games.

Commissioners voted 3–1. The complaint begins a proceeding before an administrative law judge; it does not decide whether the transaction is unlawful.

Activision chief executive Bobby Kotick rejected the competition concerns in a same-day employee letter. He said the combination would benefit players and competition and expressed confidence it would close. The company cautioned that completion remained subject to regulatory approval and other conditions.

Microsoft and Activision Blizzard trademarks; no endorsement implied.