FTC Seeks to Block Microsoft Corp.’s Acquisition of Activision Blizzard, Inc.

[KiryuRealty]

The GAF thread on this is HILARIOUS! Senjutsu Sage honestly thinks MS will of on an acquisition spree, buying SEGA, Capcom and IO Interactive after this. Because the FTC LOVES when a megacorp buyout is blocked and they try to do more of them right away after that!

I can't believe the people saying this deal would have been good for the industry. Funny thing with that, none of them offer any reasons for that belief.

 

[BloodMod]

maybe lol.

 

[KiryuRealty]

Holy shit, the FTC actually SPECIFICALLY cited the Starfield situation in their filing as evidence of MS intending to create a monopoly in gaming. Apparently, MS had assured the European CMA that they wouldn't withhold games from other platforms just weeks before the rug-pull on Starfield and Redfall. Insane arrogance.

Shut it down, they are not just having the buyout cancelled, this is going antitrust. Good going, Phil and Satya!

 

[Old Gamer]

Holy shit, the FTC actually SPECIFICALLY cited the Starfield situation in their filing as evidence of MS intending to create a monopoly in gaming.

Yes

In a complaint issued today, the FTC pointed to Microsoft’s record of acquiring and using valuable gaming content to suppress competition from rival consoles, including its acquisition of ZeniMax, parent company of Bethesda Softworks (a well-known game developer). Microsoft decided to make several of Bethesda's titles including Starfield and Redfall Microsoft exclusives despite assurances it had given to European antitrust authorities that it had no incentive to withhold games from rival consoles.

Maybe they know for a fact that there was a PS5 version that got canned.

 

[Gediminas]

Yes


Maybe they know for a fact that there was a PS5 version that got canned.

Howard or Hines, can't remember who, but they said that the game was developed on PS5 and when m$ bought them, m$ told them to scrap PS5 version.

 

[Gediminas]

Phil Spencer is a visionary. You read it here first, at IconEra.

peter420 can sue you, you stole his quote. better take it back

 

[Satoru]

peter420 can sue you, you stole his quote. better take it back

I'm a visionary as well.

 

[KnittedKnight]

LMFAO

So, this is you doing damage control, huh? "Even if I was talking out my ass, I was STILL RIGHT!"

I neither win or lose on either outcome as far as my analysis is concerned - it's just a continous data stream for analysis of politics and the state of play if you will. As a gamer it's more of a comfort problem but I've adapted since 1990 as the industry changes, and with it my buying habits and preferences - they do not stay stagnant.

But you're definitely vested in "winning" a lot - clearly. Don't be so sure about "shutting it down"... it would be unfortunate if the core of the suit revolves around the exclusivity of Starfield/Redfall. You couldn't handle MS an easier gift, one could even say almost prearranged even. Hopefully the FTC has much more bite on their back pocket for when the show materializes in court - definitely for all the "winners" out there vesting online cred on it.

Anyway didn't you add me to your ignore list? I thought so.

 

[Yurinka]

Wow, im shocked! There is no way the EU and espically the cma approve this now right?

EU regulator and UK regulators have their own investigation, which is independent from the one from the USA regulator.

MS needs to get the approval from all the regulators to complete the acquisition. If one of them doesn't approve the acquisition, there's no acquisition. MS also has a deadline that I don't remember if it was in June or July 2023: if the investigations and paperwork take too much time and they aren't on time for the dealine, there's no acquisition.

What happened today is one step: FTC still didn't block it, I assume they'll now have a trial to see if they block it or not.

 

[TubzGaming]

MS also has a deadline that I don't remember if it was in June or July 2023:

March to June Time-Frame

 

[Loy310]

Holy shit, the FTC actually SPECIFICALLY cited the Starfield situation in their filing as evidence of MS intending to create a monopoly in gaming. Apparently, MS had assured the European CMA that they wouldn't withhold games from other platforms just weeks before the rug-pull on Starfield and Redfall. Insane arrogance.

Shut it down, they are not just having the buyout cancelled, this is going antitrust. Good going, Phil and Satya!

On that alone the meager should be block. How you gonna tell regulators you not going to do something then immediately turn around and do it?

 

[Satoru]

EU regulator and UK regulators have their own investigation, which is independent from the one from the USA regulator.

MS needs to get the approval from all the regulators to complete the acquisition. If one of them doesn't approve the acquisition, there's no acquisition. MS also has a deadline that I don't remember if it was in June or July 2023: if the investigations and paperwork take too much time and they aren't on time for the dealine, there's no acquisition.

What happened today is one step: FTC still didn't block it, I assume they'll now have a trial to see if they block it or not.

First, you don't need to explain things I explained before. Second, the FTC doesn't block anything, the FTC sues to block. The court either blocks or doesn't.

 

[Yurinka]

Maybe they know for a fact that there was a PS5 version that got canned.

At least Starfield was in development for PS5 but doesn't matter, it isn't needed.

With that sentence they meant that MS has zero credibility when they say that will keep CoD in other consoles because they said the same with the Bethesda games and the Redfall and Starfield cases prove they were lying.

So doesn't matter if next year or after the supposed 10 year commitment mentioned by MS in case MS would really do it, MS could turn CoD -and other big ABK games- console exclusive and also obviously to keep them exclusively on their game sub and cloud gaming service.

So basically, nothing new and nothing illegal. Now FTC will have to prove that by making ABK titles exclusive that MS could substantially harm current and potential future competitors to the point that they wouldn't be able to compete in these markets. Something I think they can't prove because the market is so huge and MS+ABK won't even be market leaders in gaming or in any gaming market and will have a pretty small market share, as the other top players have.

First, you don't need to explain things I explained before. Second, the FTC doesn't block anything, the FTC sues to block. The court either blocks or doesn't.

I will explain whatever I want to explain and I'll say whatever I want to say. I don't need your permission or approval to do anything.

And yes, the Federal Trade Comission is the USA regulator so they are the ones in USA who decide if a big acquisition has to be stopped or not. They sue and if win, it gets blocked. If they lose or don't sue, it doesn't get blocked.

 

[Dabaus]

To me, this gives other countries the greenlight to reject the deal without fear of reprisal from the US goverment. I wouldnt be surprised if places like the UK sped up their findings now if they planned on rejecting the deal, which from their phase one concerns, seems extremely likely. I guess what im trying to say is it doesnt matter if the FTC can win court because i think by the time it gets there the UK and EU will have already given their opinion and id assume at least one if the two wont approve. China is a wildcard as well. This is all my speculation of course.

 

[KiryuRealty]

To me, this gives other countries the greenlight to reject the deal without fear of reprisal from the US goverment. I wouldnt be surprised if places like the UK sped up their findings now if they planned on rejecting the deal, which from their phase one concerns, seems extremely likely. I guess what im trying to say is it doesnt matter if the FTC can win court because i think by the time it gets there the UK and EU will have already given their opinion and id assume at least one if the two wont approve. China is a wildcard as well. This is all my speculation of course.

You can bet the EU and UK will follow the FTC on this one. Hell, the EU was probably going to fight it based on the Bethesda shit alone, regardless of what the FTC did. MS DIRECTLY lied to them on that one, so nobody should have expected an even bigger deal to go through their process without issue after that.

 

[Bryank75]

 

[KiryuRealty]

One point I think a lot of people don't realize is, this is bigger than just gaming. Microsoft is the world's biggest software publisher, and they are attempting to buy the biggest games publisher in the world. Even if they didn't have their own console (Which itself is anticompetitive, and would not have happened had the FTC done their job properly under Clinton), it would consolidate the world of computer software to an unhealthy degree.

Looking at this as simply one game console maker against another is failing to absorb the scope of the issue.

 

[Gediminas]

people also forget amazon. they can stirr loads of shit. from bethesda acquisition to cloud support on activision games.

 

[KnittedKnight]

people also forget amazon. they can stirr loads of shit. from bethesda acquisition to cloud support on activision games.

They already fucked w MS once. There is some odd tension there with Bezos whose root cause I've still to pinpoint as an outsider. There is the turf war and then there is the vicious vindictiveness. When you want to settle scores and send a message, corps wait for the opportunity (in this case an acquisition), then draw the knife by letting their hounds lose (lobbyist on DC/New York). Whomever has the biggest pull in that arena can influence a lot on the level of "regulatory oversight" against its rival.

The National Security Agency has quietly awarded a contract worth up to $10 billion to Amazon Web Services, setting off another high-stakes fight among rival tech giants over national security contract dollars. On July 21 the Redmond, Wash.-based Microsoft filed a formal bid protest with the Government Accountability Office, an independent federal agency that handles contract disputes, after Microsoft applied for the opportunity and was rejected. A decision is expected by Oct. 29.

The contract award comes on the heels of a protracted and bitter dispute over a Pentagon contract, also worth up to $10 billion, which was given to Microsoft before getting bogged down in lawsuits and ultimately scrapped. If the NSA can fight through an often bruising bid protest process, the new contract could extend Amazon’s lead in the fast-growing cloud computing market where rivals are gaining on it.

https://washingtontechnology.com/co...oft-rivalry-now-turns-1b-nga-contract/376575/
https://www.washingtonpost.com/business/2021/08/11/amazon-nsa-contract/

 

[KiryuRealty]

The new XBox fanboy narrative emerging on GAF is fucking hilarious. Hendrick's, Senjutsu Sage and others are now ecstatic about this going to trial, because they promise us it will reveal all of Sony's malfeasance and anticompetitive behaviour.

LOLWTF

How are these idiots even breathing at this point?