Activision Blizzard's acquisition by Microsoft has been challenged in court by ten gamers who identify themselves as players. The lawsuit, which makes reference to the Clayton Antitrust Act, asserts that the transaction poses a "threatened loss or injury" to the 10 plaintiffs. The new business will "significantly diminish competition," according to the complaint, and "may tend to form a monopoly in certain markets."
This lawsuit is another another obstacle in the Microsoft-Activision Blizzard story, even though it's uncertain how it will ultimately play out. The hugely lucrative Call of Duty property was offered to Sony by Microsoft as part of a 10-year license agreement, sparking debate about the transaction, which would be one of the biggest in video game history.
In a more recent lawsuit, the Federal Trade Commission said that the acquisition would impair competition in the video gaming sector and sought to have it blocked. The FTC is largely divided on whether to pursue such actions against significant tech companies in gaming and other industries, according to prior reporting by the New York Post, but it seems that the trust-busting camp is winning lately.
As part of a deal to resolve alleged COPPA violations and other allegedly unethical business activities, the FTC announced that Epic Games will pay over $500 million. Although it's unclear what exactly this environment implies for the Microsoft-ATVI deal's long-term survival, some experts have already suggested that Microsoft back out of the agreement for its own interests—a suggestion that Microsoft has categorically rejected.
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