To see more clearly in all this slump surrounding the takeover of Activision Blizzard by Microsoft, we have just released a article summarizing the major stages of the procedures as well as a calendar of dates to remember. As Christmas approaches, new information continues to pour in and after discovering the opinion of two economists concerning the takeover of ABKit is today a former antitrust expert who gives his clear opinion on the dispute between Microsoft, ABK and the FTC.
A lost legal attack for the FTC?
As a reminder, it will be two weeks since the Federal Trade Commission announced its opposition to the takeover of ABK by Microsoft by directly attacking the Redmond firm in court. FTC Director Lina Khan has announced that she will go through with these proceedings, even if their evidence is not solid.
According to former antitrust expert Douglas Melamed, this lack of evidence is glaring and makes the FTC’s approach “senseless”. In the 1990s, Melamed was involved in initiating a major lawsuit against Microsoft as the lead deputy attorney general in the case. At that time, the FTC had succeeded in temporarily blocking the agreement in play, but Microsoft had managed to go through with it. It is near the Straight Arrow News that Douglas Melamed expressed skepticism about the FTC’s new attack on Microsoft.
“I think it’s a little crazy. I think if you lose cases, the most likely inference Congress is going to draw is that you either brought bad cases or you don’t know how to argue them. »
The former expert therefore speaks of this situation with his experience and he thinks that the efforts of the FTC will not be enough with so little arguments and evidence. Currently, the FTC is confronting the Meta group which wants to buy the VR Fitness Within application and the rest of the hearing between the FTC and Microsoft will be held in August 2023.
Until then, Microsoft can try to reach an agreement and turn its back against the FTC, which ultimately does not seem to be in such a good position to effectively oppose the takeover. The Redmond firm has already offered various agreements to Sony, Nintendo and even Steam to guarantee the release of Call of Duty on these platforms.
Additionally, the group has signed an agreement with the Communication Workers of America (CWA) pledging to remain neutral if Activision Blizzard employees decide to unionize within 60 days of the end of the merger. The CWA and AFL-CIO unions also want the deal done, and the latter are putting new pressure on the FTC. Case to follow.