On Wednesday, the 9th US Circuit Court of Appeals dismissed the FTC's legal challenge to Microsoft's $69 billion acquisition of Activision Blizzard, marking a significant win for Microsoft. The court upheld a lower judge's ruling, emphasizing that the FTC failed to demonstrate that the merger would violate antitrust laws. This landmark deal, finalized in late 2023, faced scrutiny in multiple international markets, but ultimately received approval, indicating major shifts in the video gaming industry amidst ongoing regulatory challenges.
A three-judge panel unanimously ruled that the lower judge had applied the correct legal standards and said the FTC had not shown it was likely to succeed.
The decision came in an antitrust lawsuit filed by the Federal Trade Commission in 2022 against Xbox maker Microsoft, which asserted that the merger would restrict competition.
The Activision Blizzard transaction marked the largest-ever acquisition in the video gaming market, reflecting significant industry consolidation and regulatory hurdles.
US District Judge Jacqueline Scott Corley had refused to block the acquisition in July 2023, finding that the FTC had not shown a substantial lessening of competition.
Collection
[
|
...
]