Microsoft fights back against FTC claims on $69bn Activision deal

Bloomberg

Microsoft Corp. is fighting back against allegations from the US Federal Trade Commission (FTC) that its proposed $69 billion acquisition of Activision Blizzard would harm competition in video-gaming industry.
In a filing with the FTC, Microsoft said the tie-up would create more choices for gamers and game developers.
“The commission cannot meet its burden of showing that the transaction would leave consumers worse off,”
Microsoft said.
The FTC earlier this month voted to sue to block the merger between the Xbox maker and Activision Blizzard, which produces popular video games including Call of Duty. The agency said it’s concerned the deal will hurt other players in the $200 billion gaming market by limiting rivals’ access to Activision’s biggest titles.
Microsoft this week said that it’s hoping to strike a deal with the US as well as European regulators, who are investigating the merger’s potential anticompetitive effects.
“Even with confidence in our case, we remain committed to creative solutions with regulators that will protect competition, consumers, and workers in the tech sector,” Microsoft President Brad Smith said in a statement.
In a bid to win regulatory approval, Microsoft had offered rival Sony Group Corp. the right to sell Call of Duty as part of its gaming subscription service. But regulators so far haven’t been convinced by Microsoft’s proposed concessions.
Rival gaming companies have been staunch opponents to Microsoft’s bid for Activision.