The U.S. Trade Commission is pushing ahead to stop Microsoft from buying ‘Call Of Duty’ maker, Activision
The U.S. anti-trust regulator says Microsoft has a record of buying valuable gaming content, which is then used to slow competition.
Microsoft is seeking to acquire ‘Call Of Duty’ maker, Activision for $68.7 billion in the biggest gaming industry deal in history.
However, the U.S. Federal Trade Commission (FTC), which enforces antitrust law, believes Microsoft has a record of holding onto gaming content.
Holly Vedova is the director of FTC’s Bureau of Competition, who said gaming rivals will be impacted if the deal went ahead.
“Today, we seek to stop Microsoft from gaining control over a leading independent game studio and using it to harm competition in multiple dynamic and fast-growing gaming markets.”
Brad Smith is the president of Microsoft, who said the company would fight the ruling.
“While we believed in giving peace a chance, we have complete confidence in our case and welcome the opportunity to present our case in court,” he said.
A hearing will be held before an administrative law judge by August 2023.
The FTC decision led to a slump in Activision shares, which closed 1.5 per cent down at $74.76.
Meanwhile, Microsoft slipped from an earlier high but still closed around 1 per cent higher.
