The FTC is reportedly joining the line of those against the merger between Microsoft and Activision.
According to “Politico” the Federal Trade Commission “FTC” could block the acquisition attempt as early as next month.
The FTC would do this by filing an antitrust lawsuit effectively causing a major roadblock for the deal.
According to the report, the four FTC commissioners have not yet decided whether to initiate a case. The agency hasn’t yet had a discussion about the possibilities with lawyers from Microsoft or Activision Blizzard.
The FTC has disputed several of Microsoft and Activision’s assertions, according to Politico.
The FTC is most concerned about whether the combination will give Microsoft an unfair advantage in video games.
According to Politico, the FTC’s antitrust inquiry, which may have begun as early as February, is nearly complete. Reportedly Activision CEO Bobby Kotick and Microsoft CEO Satya Nadella have already testified before the agency.
This major deal has had many hurdles to jump over and will likely have many more as it seems many are opposed to the acquisition.
Sony is one of those that oppose the acquisition and earlier this year they sided with the UK’s CMA. The CMA (Competition and Markets Authority) was planning to launch a phase 2 investigation into the proposed acquisition.
Microsoft has taken the rare step of promising to ensure that Call of Duty will remain on PlayStation platforms for ten years despite Sony’s concerns.
They have also made sure to underline that even if the third-place console manufacturer were to obtain exclusivity over one game series, PlayStation’s existing market dominance would not be completely eliminated.
The company claims that one of the reasons for the agreement is to boost Xbox Game Pass, but its major objective is to establish a presence in the lucrative market for mobile games.
Of course, there is no guarantee that the FTC will try and block the merger but it also seems that they are knee-deep in investigations into the union so only time will tell what the outcome will be.
As we have been doing since the beginning of the acquisition. We will be here to report any updates or news regarding the situation.
The FTC itself has declined to comment on the matter. But as December is just around the corner we will likely see action soon.