Landmark Ruling: Microsoft's Acquisition of Activision Blizzard Sends Shockwaves Through Gaming Industry

Landmark Ruling: Microsoft's Acquisition of Activision Blizzard Sends Shockwaves Through Gaming Industry

Judge Jacqueline Scott Corley rules in favor of Microsoft's Activision Blizzard acquisition, paving the way for the deal's successful closure

Judge Jacqueline Scott Corley has denied the Federal Trade Commission's request for a preliminary injunction, allowing Microsoft to proceed with its acquisition of Activision Blizzard. Despite being blocked in the UK, the deal has received approvals from various governing bodies worldwide. This ruling signifies the failure of the FTC's attempt to halt Microsoft's acquisition, enabling the closure of this historic deal. While the FTC still has the option to appeal, it remains uncertain if they will pursue this course of action.

Judge Corley's ruling clarified that the Federal Trade Commission (FTC) failed to demonstrate that Microsoft's acquisition of Activision Blizzard would significantly reduce competition. On the contrary, the evidence presented indicates that the deal would benefit consumers. Judge Corley highlighted several factors supporting this conclusion, including Microsoft's commitment to ensuring that Call of Duty remains available on PlayStation for a minimum of 10 years. Additionally, Microsoft plans to introduce Call of Duty to Nintendo platforms and has made several agreements to bring Activision games to various cloud gaming services. In essence, Microsoft's acquisition of Activision Blizzard will enhance consumer access to Activision-published games across a wider range of platforms.

The impact of Microsoft's impending acquisition of Activision Blizzard on the industry will be substantial. For example, Sony has implied that the deal might prevent them from providing Activision with development kits for the PlayStation 6. If this were to occur, it could potentially create complications regarding Microsoft's commitment to continue offering Call of Duty on PlayStation.

In the near future, the introduction of Call of Duty to Xbox Game Pass could have a significant impact. By offering the game on day one, it has the potential to persuade numerous gamers to subscribe to the service. Additionally, Microsoft may consider including extra benefits specifically for Activision games, similar to how they have enhanced their own titles for Xbox Game Pass Ultimate members.

Previously, Activision had expressed a desire to bring back some of their dormant franchises on Xbox, such as Skylanders and Guitar Hero. Only time will reveal if this becomes a reality. Nevertheless, Microsoft's acquisition of Activision Blizzard will undoubtedly provide a substantial boost to Xbox in the console, PC, and mobile gaming realms.

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