The US Federal Trade Commission (FTC) has launched an appeal against a recent court ruling that approved Microsoft’s acquisition of Activision Blizzard. Despite winning the initial case, Microsoft now faces the challenge of defending the legality of the acquisition as the FTC seeks to reverse the decision.
To proceed with the appeal, the FTC requires an emergency stay from the Ninth Circuit Court of Appeals to extend the temporary restraining order that initially blocked the acquisition. The outcome of the appeal and the granting of the stay are uncertain at this point.
In the UK, Microsoft is still grappling with the ruling by the Competition and Market Authority (CMA), which blocked the merger on the grounds of potential gaming monopoly. Microsoft has filed an appeal against the CMA’s decision in the UK court system.
While facing challenges in the US and UK, Microsoft has received approval for the acquisition in other parts of the world. The Chinese government has granted full approval, and the European Union approved the acquisition with certain conditions.
Despite the ongoing legal battles, Microsoft remains confident in the outcome. Brad Smith, Microsoft’s vice chair and president, expressed disappointment in the FTC’s pursuit of what Microsoft considers a weak case and reiterated the positive impact of the acquisition on competition and consumers.
