Do Son 
The U.S. Federal Trade Commission (FTC) previously filed multiple appeals against Microsoft’s acquisition of Activision Blizzard, citing concerns over potential anticompetitive effects. Last year, the FTC renewed its objections following Microsoft’s announcement of mass layoffs, arguing that such actions violated the commitments made during the acquisition process. However, the Ninth Circuit Court of Appeals upheld the lower court’s ruling, concluding that the acquisition did not breach antitrust laws.
The Ninth Circuit determined that the FTC failed to demonstrate that Microsoft’s acquisition of Activision Blizzard would materially hinder competing gaming platforms from accessing blockbuster titles such as Call of Duty. Moreover, the court rejected the FTC’s assertion that the deal would stifle competition in the game subscription and cloud streaming markets.
Judge Daniel P. Collins remarked that major industry players are engaging in similar acquisition strategies to enhance their competitive edge through expanded content portfolios. He also noted that Microsoft has continued to port its formerly exclusive titles to rival platforms, further weakening the claim that the acquisition would harm market competition.
Prior to the deal’s approval, Microsoft assured the FTC that the merger with Activision Blizzard constituted a vertical integration and would not result in workforce reductions. Nonetheless, following the acquisition, the company cited overlapping operations as a rationale for downsizing, leading to layoffs affecting approximately 1,900 employees across Xbox, Activision Blizzard, and ZeniMax divisions.
