US blocks Microsoft’s acquisition of Activision Blizzard game company

FTC Director of Competition Holly Vedova said the agency wanted to prevent Microsoft from gaining control of a leading game maker and using the deal to harm competition in the vibrant and growing gaming market. this rapid growth.

According to the FTC, Microsoft has also purchased smaller game companies in the past to own exclusive rights to game content, thereby preventing competitors such as Nintendo and Sony from accessing these products. This will be a big change for Activision Blizzard, which has a strategy of providing games on multiple platforms.

In response, Microsoft President Brad Smith affirmed that this acquisition will expand competition and create more opportunities for players and game developers. Microsoft is ready to present its stance in court.

For his part, Activision Blizzard CEO Bobby Kotick said the FTC’s allegations did not match reality, and expressed optimism about reaching an agreement with Microsoft.

In January of this year, Microsoft announced its acquisition of Activision Blizzard, and said it would create the world’s third-largest game company by revenue. The European Union (EU) and the UK later opened an investigation into the deal, fearing that the deal would give Microsoft exclusive rights to popular games by Activision Blizzard.

Earlier this week, Microsoft sought to allay concerns when it announced it would allow Nintendo’s Nintendo Switch handheld game console to access “Call of Duty” games. Earlier, Microsoft also made a similar decision with Sony’s PlayStation handheld game console.