US Federal Trade Commission Chairs Antitrust Review of Microsoft-Activision Blizzard Agreement


When big deal between Microsoft and Activision Blizzard was announced last week, noting that the deal would be pending approval and wouldn’t expect it to be finalized for at least another year. Now, according to BloombergThe Federal Trade Commission (FTC) could be the watchdog on the question of whether the deal harms competition or whether changes will have to be made.

The report says that the FTC and the Justice Department share responsibility for conducting antitrust review of giant mergers, but that sometimes only one person can investigate a particular deal. Concern grows because FTC chair Lina Khan is an advocate of taking a hardline approach to review deals for tech companies or companies can use dominance in one business area to gain power in other markets and grow there in a way that hurts competition.

Are from This deal is huge and important globallyagreement will is also under scrutiny in Europe and it will remain to see what parts of the deal survive the plan. The investigation into the deal will cover a variety of businesses and what the combined company might look like. The key question that may arise is whether Microsoft will buy a large global company like Activision Blizzard would create competition so unfair that it could harm their competitors by restricting access to products and exclusivity. It may depend on whether Microsoft in the console business with hardware that, in addition to owning some big IPs and companies of its own, can absorb everything in the Activision Blizzard catalog without causing significant harm tell other companies (and the consumer market) or not.

Whether we might see more exclusives over time, special licensing deals, or other ways to categorize these details, we don’t know yet. However, the FTC’s choice behind the investigation could signal a tough review. US Federal Trade Commission Chairs Antitrust Review of Microsoft-Activision Blizzard Agreement

Fry Electronics Team

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