Microsoft Reportedly Plans to Close Activision Blizzard Deal Despite FTC Lawsuit

wccftech.com:

A New York Post article cites anonymous sources reportedly familiar with Microsoft's plans about the Activision Blizzard deal. According to these sources, the software giant will move on to formally close the earth-shattering $68.7 billion acquisition even in the face of the lawsuit filed last December by the Federal Trade Commission to block the merger due to competition concerns.

Of course, that is on the basis Microsoft will receive the go-ahead from the UK's Competition and Markets Authority (CMA) later today and from the European Union soon. On that note, the sources mention that the EU is now expected to rule next month. The CMA, they said, was the toughest regulator to deal with.

Indeed, CMA appeals rarely succeed, which is why the Microsoft/Activision Blizzard merger seemed in jeopardy when the UK regulatory body said it expected Microsoft to remove the prized Call of Duty IP from rival platforms such as PlayStation. However, Microsoft repeatedly stated it made no sense financially, as the revenue from Call of Duty games mainly comes from PlayStation platforms. It urged the CMA to re-evaluate its financial models, which it did, turning around its conclusion on any competition concerns related to the console market earlier this month. Microsoft had also offered 10-year-long binding contracts to ship Call of Duty with full parity on Nintendo platforms, Sony platforms, and Steam. Valve said it didn't need to sign since Microsoft already had all the incentive to keep its word; Nintendo signed its deal; but Sony, the strongest opponent to the merger in the gaming industry, refused to do the same.

In the update issued earlier this month, the CMA noted it still needed to clear its concerns related to the cloud market.