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Microsoft wins against FTC to buy Activision Blizzard

By - | Views: 29,544

Well, the results are here. In the USA the FTC was trying to block Microsoft from acquiring Activision Blizzard but Microsoft has won the fight. Now Microsoft are one big step closer to actually properly closing the deal, and a rather big consolidation of the gaming industry given how big Activision Blizzard are.

As per the decision:

Microsoft’s acquisition of Activision has been described as the largest in tech history. It deserves scrutiny. That scrutiny has paid off: Microsoft has committed in writing, in public, and in court to keep Call of Duty on PlayStation for 10 years on parity with Xbox. It made an agreement with Nintendo to bring Call of Duty to Switch. And it entered several agreements to for the first time bring Activision’s content to several cloud gaming services.

This Court’s responsibility in this case is narrow. It is to decide if, notwithstanding these current circumstances, the merger should be halted—perhaps even terminated—pending resolution of the FTC administrative action. For the reasons explained, the Court finds the FTC has not shown a likelihood it will prevail on its claim this particular vertical merger in this specific industry may substantially lessen competition. To the contrary, the record evidence points to more consumer access to Call of Duty and other Activision content. The motion for a preliminary injunction is therefore DENIED.

This means the temporary restraining order against the acquisition will be removed on July 14th, unless the FTC obtains a "stay pending appeal from the Ninth Circuit Court of Appeals".

Microsoft still have a fight ahead in the UK though, since the CMA (Competition and Markets Authority) blocked the deal but naturally Microsoft is appealing the decision with a hearing set to begin on July 28th. So they're not completely out of the woods yet but it's probable Microsoft will end up winning there too. Update 16:21 UTC - Brad Smith, Vice Chair and President Microsoft, put a statement on Twitter:

After today's court decision in the U.S., our focus now turns back to the UK. While we ultimately disagree with the CMA’s concerns, we are considering how the transaction might be modified in order to address those concerns in a way that is acceptable to the CMA. In order to prioritize work on these proposals, Microsoft and Activision have agreed with the CMA that a stay of the litigation in the UK would be in the public interest and the parties have made a joint submission to the Competition Appeal Tribunal to this effect.

What do you think to this outcome?

Article taken from GamingOnLinux.com.
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64 comments
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MisterPaytwick Jul 11, 2023
This merger will not prevent Bobby "Please don't draw horns on my head because it ruins my love life" Kotick from staying. Even if he was kicked, he'd be with such a paycheck he'll just get to another CEO position.

Consolidation is such a nightmare. Well, I'm going indies all the way down for years now, I guess there is no redemption for that kind of structure anyway.

Quoting: wvstolzingSpeaking of a$$hole companies, did you all see this?
https://www.suse.com/news/SUSE-Preserves-Choice-in-Enterprise-Linux/

Wait, SuSE is actually picking to have competition over stagnation ? That's nice. Looking a bit harder at it, I guess it's wait and see again, sounds pretty opportunistic.


Last edited by MisterPaytwick on 11 July 2023 at 6:23 pm UTC
cybik Jul 11, 2023
Quoting: Raabenso why bother replacing him?

Because he's not worth 125+ million dollars.

At best, maybe 30. 125 is just insulting.


Last edited by cybik on 11 July 2023 at 5:58 pm UTC
Linux_Rocks Jul 11, 2023
The only positive outcome from this merger is Microsoft cleaning house and lessening the toxic culture at Activision-Blizzard.

Outside of that, this is shit. I don't trust Microsoft. Whether it's this, or their "<3" Linux crap. I know it might sound paranoid. But I feel that the latter is just them trying to ruin Linux from the inside. I remember the old Microsoft and their practices. They're back at it buying whatever they can. Though if they do somehow managed to ruin Linux. At least there's still FreeBSD.

I only use Microsoft products and services when I absolutely need to. Then when it comes to gaming I'm not an anti-fanboy. So if a game is on Xbox that I want. I'm not gonna miss out on it. Plus my pirating of most of my OG Xbox games cancels that out anyways. XD
Grogan Jul 11, 2023
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Quoting: PikoloThe Judge's son works at Microsoft. Hopefully the appeals court can fix this

That's similar to how Microsoft got in in the first place... Gate's mother was on the IBM board of directors. There's no way they'd have chosen that mickey mouse operating system on its own merits. DOS (well, CP/M at the time) was utter garbage, it was sold for a song and Gates stayed up a few nights porting some essentials like a Basic interpreter and then chummed BBS's and lists with open letters urging people that they need to pay for software.

"Oh, but look at how much Microsoft has done for the computing industry!" I counter that with who knows what we could have had, if not for those bloody creeps throughout the history of PC computing.

Even what WE have now (our Linux and software environment and yes, especially our gaming technologies now), is geared towards interoperating with them.


Last edited by Grogan on 11 July 2023 at 6:19 pm UTC
ShabbyX Jul 11, 2023
Quoting: Grogan"Oh, but look at how much Microsoft has done for the computing industry!" I counter that with who knows what we could have had, if not for those bloody creeps throughout the history of PC computing.

Next time someone says that, tell them that multics (in the 60s, before unix) was multi user. First actually multi-user windows was vista. That's a set back of ~40 years. If DOS had file permissions like Unix did, we wouldn't be in a world of rampant viruses. That's a 30-year set back too.

Yeap, they _have_ done much for computing, mostly in the form of ruining it.
hazukashiidesu Jul 11, 2023
Quoting: StalePopcornGet your M$ accounts now, bitches—they'll be linked to your SSN and .gov accounts before you know it.

Pulled out the xbox a few months ago to introduce some family to Halo, fired it up just to find all my local accounts were gone and the only way to play was to sign everyone into a M$ account... needless to say we opted to do something else instead.. the xbox isn't much more than an overly expensive bluray player now.
wvstolzing Jul 11, 2023
Quoting: MisterPaytwickWait, SuSE is actually picking to have competition over stagnation ? That's nice. Looking a bit harder at it, I guess it's wait and see again, sounds pretty opportunistic.

Yeah; I mean, SuSE the business couldn't act any other way; but what's puzzling is what they're promising -- a 'hard fork' of RHEL that 'plays nice' with clones makes sense if it's meant to receive the care & attention RHEL itself receives. But SuSE isn't making that big of a commitment; & although the news articles stress the $10M they say they're investing into this, that amount is about half of what Rocky started with in the first place. & SuSE already has its own enterprise OS. It's pretty weird. Maybe they want Rocky & Alma to become SLE clones?

.... ok sorry about the weird tangent.
More on topic: fsck Microsoft!

Quoting: ShabbyXYeap, they _have_ done much for computing, mostly in the form of ruining it.

This can't be stressed hard enough.
slaapliedje Jul 11, 2023
Quoting: ObsidianBlk
Quoting: Purple Library GuyIt sucks. More consolidation is bad. I have no fondness for Activision Blizzard, but then I'm not a big fan of Microsoft either and neither of those is the main point. Corporate behemoths are too big; in general they should be getting chopped into smaller pieces, not allowed to stitch together into even gianter Frankenstein leviathans.

I feel most countries (USA especially) have long ago abandoned even the pretense of fighting against monopolistic behavior. I cannot say how bad this merger will be over time. I fear, in maybe a decade, it will be bad for people not on Windows or XBox... then again, I have a very negative bias against Microsoft and A/B (especially the Activision potion), so take what I said with a grain of salt, I suppose.
Curious what you have against Activision that makes them worse than the Blizzard side?
slaapliedje Jul 11, 2023
Quoting: wvstolzing
Quoting: MisterPaytwickWait, SuSE is actually picking to have competition over stagnation ? That's nice. Looking a bit harder at it, I guess it's wait and see again, sounds pretty opportunistic.

Yeah; I mean, SuSE the business couldn't act any other way; but what's puzzling is what they're promising -- a 'hard fork' of RHEL that 'plays nice' with clones makes sense if it's meant to receive the care & attention RHEL itself receives. But SuSE isn't making that big of a commitment; & although the news articles stress the $10M they say they're investing into this, that amount is about half of what Rocky started with in the first place. & SuSE already has its own enterprise OS. It's pretty weird. Maybe they want Rocky & Alma to become SLE clones?

.... ok sorry about the weird tangent.
More on topic: fsck Microsoft!

Quoting: ShabbyXYeap, they _have_ done much for computing, mostly in the form of ruining it.

This can't be stressed hard enough.
The funniest bit about the whole IBM/RH drama is Oracle trying to step in to be the good guy. Kind of seems like RH vs Oracle vs Suse... and the collateral damage is likely to be Alma / Rocky. If Oracle or Suse had a truly open community enterprise linux, there really wouldn't be a need for Alma / Rocky. But I somehow don't see that really happening from Oracle, and Suse suddenly deciding they want to be compatible with RH is weird...
F.Ultra Jul 11, 2023
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Quoting: ZeloxI really think this is good. Blizzard was dead once activision got their hands on them. And it’s been going worse and worse every year.

Microsoft really have some good games, they seem to release stable and solid games. I also hope this can change the culture in blizzard and bring them back to not just be about money and greed as activision like.

And there is still plenty of competition on the gaming market and I also hope we get to see blizzard games on steam :)

why would money changing hands at a higher level change the inside culture at blizzard? Microsoft won't do anything about this, this is only about the sales figures of CoD, this is not the CEO of Microsoft waking up in the middle of the night and worrying that Activision wrecked havoc on the Blizzard internal culture.
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