Microsoft says it plans to challenge US commission over Activision buyout process

Microsoft has signaled that it plans to contest the process of the Federal Trade Commission (FTC, its acronym in English) of the United States to block the purchase of the company Activision Blizzard, estimated at US$ 75 billion, and must use as an argument having “poor performance” in video game development, lagging behind rivals in an industry that is expected to become more competitive in the future.

Legal experts interviewed by The Wall Street Journal believe that defense building can happen using also the argument that it would be a vertical merger – buying a supply chain company, not a direct competitor.

The company has until Thursday (22) to respond to the FTC process, opened on December 8 by the agency’s Administrative Court.

The FTC’s lawsuit alleges that the deal is illegal because it allows Microsoft to control consumers’ access to Activision’s games, as well as other products and services already offered by the company before the merger. According to the FTC, Microsoft could raise prices or degrade Activision’s content, preventing partial or total use of the games.

“If you can control a major content source like Activision Blizzard, you have a number of tools at your disposal,” which could stifle competition, an agency official said earlier this month.

Source: CNN Brasil

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