Gamers sue Microsoft to stop buying Activision Blizzard

Video game group sues California federal court lawsuitseeking to block a deal to buy Microsoft’s video game developer Activision Blizzard. According to the plaintiffs, this acquisition will allow Microsoft to suppress competition in the video game market.

About the upcoming purchase of Activision Blizzard for $68.7 billion by Microsoft announced in January. Activision Blizzard is one of the most famous video game developers with titles such as Call of Duty, World of Warcraft and Candy Crush in its portfolio. This deal was supposed to be the largest in the history of the video game market, and, as noted by Microsoft, it will help the corporation strengthen its position in the gaming market and develop its own “metal universe”. However, the deal immediately attracted the attention of regulators in different countries. So, in July, verification of the transaction was launched in the UK, in November – in the European Union, and in early December, the US Federal Trade Commission (FTC) announced about the intention to block it on the grounds that Microsoft is trying to achieve “competition suppression”.

In a lawsuit filed yesterday, Dec. 20, 10 consumers in California, New Mexico and New Jersey allege that buying Activision Blizzard would give Microsoft “too much market power in the video game industry” and the corporation would be able to “hinder competitors, restrict game releases, reduce choice consumers, raise prices, and otherwise discourage competition.” In turn, a Microsoft representative, who commented on the lawsuit, noted that the deal, on the contrary, “will expand competition and create more opportunities for gamers and game developers.”

Alena Miklashevskaya