FTC reportedly filing injunction to temporarily block Microsoft's Activision Blizzard deal
US antitrust agency the Federal Trade Commission is reportedly set to file an injunction with a federal court in an effort to temporarily halt Microsoft's $69bn acquisition of Activision Blizzard.
The FTC sued to block Microsoft's proposed deal back in December, claiming it would allow the company to suppress its games industry competition. The hearing for that case — which will be deliberated by the FTC's own internal administrative law judge — is set for 2nd August, after Microsoft's 18th July merger deadline expires.
As reported by CNBC, citing a source familiar with the matter, the FTC is now taking steps to prevent Microsoft's Activision Blizzard deal from going ahead before its internal hearing can take place, by filing for an injunction with a US District Court.
That will buy the Federal Trade Commission the additional time it needs to make its decision on whether the acquisition should be blocked, which can then be appealed by Microsoft in a federal court should it be unhappy with the outcome.
All this comes as Microsoft prepares to present its case in front of the UK's Competition Appeal Tribunal, arguing against the UK Competition and Markets Authority's recent decision to block its proposed Activision Blizzard acquisition. The CMA elected to block the deal in April, highlighting concerns relating to the burgeoning cloud gaming sector and arguing the deal would risk «stifling competition in this growing market».
Microsoft's Competition Appeal Tribunal hearing has been given a preliminary 24th July start date. Even if a judge sides with Microsoft, the ruling will still need to go back to the Competition and Markets Authority for review.
Read more on eurogamer.net
