FTC suspends administrative challenge to Microsoft's Activision Blizzard deal
As reported in The Verge, the Federal Trade Commission (FTC) is suspending its administrative challenge to Microsoft's $68.7 billion acquisition of Activision Blizzard. This comes after the FTC's request for emergency relief was denied in the Ninth Circuit Court of Appeals, and not long after a motion Microsoft and Activision Blizzard filed earlier to get the FTC from trying to block their proposed merger.
It's important to note that the deal is not closed yet, though the FTC withdrawing its in-house challenge is a huge boon to Microsoft. According to The Verge, The FTC is still appealing the preliminary injunction denial.
As reported earlier today, Microsoft extended its merger deadline until October 18 of this year, to deal with any remaining issues from regulators.
"We will honor all commitments agreed upon with the EC and other regulators and continue to work with the Competition and Markets Authority (CMA) on the issues raised in the UK," said Microsoft president Brad Smith in a statement. "We are confident about our prospects for getting this deal across the finish line."
The other major hurdle still standing in place is the Competition and markets Authority (CMA) ban in the UK. In our story earlier in the month, we noted that the CMA is the biggest obstacle currently in place, and there is an interim ban in place keeping both publishers from acquiring one another without express CMA permission.
Both companies are working to appeal the original block from the CMA, which is set to take place from July 28 to August 4. Activision CEO Bobby Kotick noted in a statement the two would "work with UK regulators to address any remaining concerns so our merger can quickly close."
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