FTC Drops Appeal: Microsoft’s Activision Blizzard Acquisition Final

After the United States Court of Appeals for the Ninth Circuit upheld a previous ruling dismissing the Federal Trade Commission’s appeal against Microsoft’s acquisition of Activision Blizzard—on grounds that it would allegedly harm market competition—the FTC has announced it will not pursue further legal action.

The FTC stated that its decision to cease further appeals was made in consideration of the public interest. The court’s prior rulings indicated that it did not view Microsoft’s acquisition as detrimental to the gaming market. Microsoft, in fulfilling its commitments, has granted licensing rights to other companies and expanded access to previously Xbox-exclusive titles on platforms such as PlayStation. The FTC struggled to present compelling evidence that the acquisition would hinder future developments in the gaming industry, leading the court to repeatedly affirm the validity of Microsoft’s position.

In response, Microsoft President and Vice Chair Brad Smith remarked on the “X” platform that the court’s decision represents a victory not only for Microsoft, but for gamers across the United States and for the principles of common sense in Washington, D.C. He also expressed appreciation for the FTC’s decision to bring the matter to a close.