FTC reportedly seeks injunction to stop Microsoft’s Activision Blizzard deal

techcrunch.com:

Microsoft’s proposed $68.7 billion acquisition of Activision Blizzard has received a mixed response from regulators around the world, but the Federal Trade Commission may be its biggest critic. The agency has reportedly applied for an injunction to prevent the deal going ahead before its own official judgment on the situation later this year.

Microsoft announced its intention to buy the gaming giant early last year as a way to bolster its own Xbox and PC gaming division, which has struggled to outplay perennial rival Sony. (Though yesterday’s impressive Xbox showcase clearly indicates that the war is far from over.)

This was followed by a flurry of concerned statements from antitrust regulators around the world, who said industry consolidation like this produces few benefits and plenty of risks for consumers. Several investigations are underway, and the U.K. has even moved to block the deal, though that is being appealed in court there.

Cue the FTC, which already has a lawsuit challenging the acquisition, but that is not scheduled to be heard by its own administrative law judge until August. So the agency is reportedly asking for an injunction against the deal now — essentially, asking a judge to pre-judge whether the lawsuit is likely to succeed, whether harm could occur during the legal process, and if so prevent the deal from going forward in the meantime.CNBC first reported the move.

The agency did have a closed-door meeting this morning for “consideration of a nonpublic law enforcement matter,” which very well could be the matter in question.

Such decisions generally require the case to be pretty clear, though, and this one may not be. When it filed the lawsuit, the FTC said “we seek to stop Microsoft from gaining