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FTC Blames Microsoft’s Actions With Bethesda Deal Evidence To Block Current Activision Acquisition

Of course, while many still peer at Microsoft to be the lacking of the three platform holders for more than a full console cycle, the ecosystem is continuing to inject conversation on the industry from its actions. Namely, the growing number of acquisitions made on behalf of the Xbox parent company. One of its largest deals was Bethesda back in 2020. And now, Activision Blizzard is its new target for Xbox.

Recently, the FTC issued a lawsuit against the Xbox firm with blame harboring intentions to withhold content from rivaling platforms. The regulator by June 2023 successfully established its concern and restrained the acquisition from progressing between both parties. In a following document that released this week, the FTC now has ammunition for its reasoning to block the deal.

In a new documented reply to Microsoft’s opposition of the preliminary injunction, the FTC utilizes the handling of the Zenimax acquisition to be a plentiful argument against the current Activision Blizzard battle. Namely, how releases since the acquisition being fulfilled for Bethesda led to only Xbox exclusive titles.

“Defendants put great stock in Microsoft’s concerns about ‘infuriating gamers’ if it were to foreclose rivals’ access to Activision content… But those same concerns did not stop the ZeniMax decision.” Adding: “Microsoft has the ability and incentive to foreclose or partially foreclose Activision content post-acquisition. Microsoft’s prior actions with its ZeniMax acquisition is one of many pieces of evidence demonstrating this fact.”

And the argument is proof of the route Xbox has taken. Despite executives at Microsoft stating that Bethesda releases moving forward would be dealt on a case-by-case basis, it has only proven to be in its own favor with Redfall & Starfield. And whilst Microsoft argues that the first arrangement of the deal then offered exclusive content for its competitor on PlayStation with Deathloop & GhostWire: Tokyo, it is not effective as both later hit its own platform.

One of Microsoft’s arguments previously stated that the deal for Activision Blizzard would be the act on the acquisition as it did with Mojang Studios. The Minecraft developer since its buyout in 2015 has remained a multiplatform developer. And with concerns if Call of Duty will go solely on Xbox, the response is that it will be handled similarly to Minecraft. You can read the full report by heading here.

What is your thoughts on the development for the Activision Blizzard deal?

Source: Federal Trade Commission

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