{"id":23217,"date":"2022-12-24T12:42:38","date_gmt":"2022-12-24T12:42:38","guid":{"rendered":"https:\/\/www.africa-press.net\/lesotho\/?p=23217"},"modified":"2022-12-24T11:08:32","modified_gmt":"2022-12-24T11:08:32","slug":"microsoft-activision-deal-gamers-sue-to-stop-merger","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/lesotho\/all-news\/microsoft-activision-deal-gamers-sue-to-stop-merger","title":{"rendered":"Microsoft-Activision deal: Gamers sue to stop merger"},"content":{"rendered":"

Africa-Press – Lesotho. <\/strong><\/span>Microsoft faces legal action from 10 gamers to block its merger with Call of Duty maker Activision Blizzard. The lawsuit filed in a US federal court says the $69bn (\u00a356bn) deal by the Xbox console maker to purchase its rival will \u201ccreate a monopoly in the video game industry\u201d.<\/p>\n

The complaint comes two weeks after US regulators filed a case with an administrative judge to block the deal. The merger would be the largest tech deal ever in the video gaming market.<\/p>\n

The proposed acquisition would give Microsoft \u201cfar-outsized market power in the video game industry,\u201d according to the complaint \u201cwith the ability to foreclose rivals, limit output, reduce consumer choice, raise prices, and further inhibit competition.<\/p>\n

\u201d However, Microsoft is defending the proposed acquisition.<\/p>\n

\u201cThis deal will expand competition and create more opportunities for gamers and game developers as we seek to bring more games to more people,\u201d according to a spokesman.<\/p>\n

Almost two weeks ago, the Federal Trade Commission (FTC) raised similar concerns in their complaint. The US business watchdog said Activision was one of a small number of top video game developers that made high-quality games for multiple devices.<\/p>\n

The proposed acquisition would give Microsoft \u201cboth the means and motive to harm competition\u201d by manipulating pricing, making games worse on its competitors\u2019 video game consoles, \u201cor withholding content from competitors entirely, resulting in harm to consumers,\u201d the agency said in a press release.<\/p>\n

After the FTC filed its lawsuit, Microsoft president Brad Smith said the company had \u201ccomplete confidence in our case and welcome the opportunity to present our case in court\u201d.<\/p>\n

We continue to believe that our deal to acquire Activision Blizzard will expand competition and create more opportunities for gamers and game developers.<\/p>\n

Microsoft also announced it will make Call of Duty available on Nintendo for 10 years if the purchase went through and made a similar offer to rival Sony which makes the PlayStation console.<\/p>\n

\u201cThis sounds alarming, so I want to reinforce my confidence that this deal will close,\u201d Activision Blizzard chief executive Bobby Kotick wrote in a letter to staff that was shared on the company\u2019s website.<\/p>\n

\u201cThe allegation that this deal is anti-competitive doesn\u2019t align with the facts, and we believe we\u2019ll win this challenge.<\/p>\n

\u201d This has become one of the most-high profile legal fights to emerge from US President Joe Biden\u2019s pledge to take a harder line against monopolies. The takeover, which was announced in January, also faces legal action in the European Union and the UK.<\/p>\n

For More News And Analysis About Lesotho<\/a> Follow Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Africa-Press – Lesotho. Microsoft faces legal action from 10 gamers to block its merger with Call of Duty maker Activision Blizzard. The lawsuit filed in a US federal court says the $69bn (\u00a356bn) deal by the Xbox console maker to purchase its rival will \u201ccreate a monopoly in the video game industry\u201d. The complaint comes […]<\/p>\n","protected":false},"author":84,"featured_media":23216,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,9],"tags":[233,246,296,245],"class_list":["post-23217","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-miscellaneous","tag-africa-press","tag-africa-press-lesotho","tag-european","tag-lesotho"],"yoast_head":"\nMicrosoft-Activision deal: Gamers sue to stop merger - Lesotho<\/title>\n<meta name=\"description\" content=\"Microsoft faces legal action from 10 gamers to block its merger with Call of Duty maker Activision Blizzard. 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