This latest update on the Activision Blizzard saga is not one we were expecting!
As highlighted by Bloomberg this week, a group of "videogamers" have decided to file a federal antitrust lawsuit against Microsoft's attempt to acquire Activision Blizzard, with the main document of the Court Dockets stating that "the threatened loss or damage to the Plaintiffs and to the public at-large by the merging of two giants in the video game industry is extensive and broad."
There are ten plaintiffs in all, many of which state they are PlayStation, PC and/or Nintendo Switch owners, with a few mentioning they currently play on Xbox as well. Similar to Sony's complaints about the acquisition, the suit advises that if the deal goes ahead, it could be detrimental in many ways to the gaming industry.
Plaintiffs: "If Microsoft’s proposed acquisition of Activision Blizzard is allowed to proceed, the video game industry may lose substantial competition, and Microsoft may have far-outsized market power, with the ability to foreclose rivals, limit output, reduce consumer choice, raise prices, and further inhibit competition."
It's an extensive document with 45 pages of notes, so the Plaintiffs aren't playing around here, but Microsoft doesn't seem overly concerned, repeating to Bloomberg this week that the acquisition will be beneficial for everyone:
Microsoft: “This deal will expand competition and create more opportunities for gamers and game developers as we seek to bring more games to more people."
In addition to this suit, Microsoft also has the US Federal Trading Commission to worry about right now, which has, too, announced its intention to challenge the acquisition in court. Meanwhile, both the European Commission and UK Competition and Markets Authority are conducting detailed "Phase 2" investigations into the deal.
There's still a long way to go with all of this, folks!
What do you make of this? Let us know down in the comments section below.
[source news.bloomberglaw.com]
Comments 41
This is getting ridiculous hope it gets thrown out and the plaintiffs loose money. Just a few salty fanboys trying it on nothing more.
Unfortunately could stall the deal even further probably won't close until 2024 if ever. I think Microsoft should just let it go and invest the money elsewhere. They can start by hiring more staff so they can get games out for a start.
going to drag on for whole of 23.
but this part will fail along with rest
Sony's arguments simply don't make sense and can be applied to their own practices. At some point they will be called out for their bulls***.
I think they're getting the word "gamers" and "f**kfaces" mixed up in this case.
@Cyberpsycho there will be compromise. always is with mergers this size, then it will go through.
MS really need King and honestly they will happily share CoD.
This suit probably not going to be able to do much, but good to see people doing something.
I hope that the competition regulators around the world do their job, and either stop this, or put severe restrictions on the merger (have them divest other interests, etc.).
@Auglicious
Sony living rent free in your head. This has absolutely nothing to do with Sony?
There is an argument to be made, and in the US that means someone somewhere will sue.
These people need to get a life.
The length that some PS fans go to is insane, just buy an Xbox, it'd be cheaper 😂
@PartyMarty
Produce some top end AAA games Microsoft then people might buy an Xbox 😂
Just for fun I have a series x.
I own a Switch and I approve of the deal. So are we good, or no?
@PhileasFragg lol wrong site buddy! The Sony site is called Push Square. You can go there for all your PlayStation needs.
@Titntin no there really isn't. Wouldn't be surprised at all of these were actors in league with Sony. This is just a power grab by the FTC and their ambitious leader that Sony is taking advantage of.
@Cyberpsycho if they walk away, Activision would almost certainly sue them.
Plaintiffs: "If Sony's proposed acquisition of excusive content, games and deals is allowed to proceed, the video game industry may lose substantial competition, and Sony may have far-outsized market power, with the ability to foreclose rivals, limit output, reduce consumer choice, raise prices, and further inhibit competition."
Ah, that's more like it.
@PartyMarty Well just look at how many jump on this site to trash Xbox all the time? Lot of insecure fans.
@Deadeye13 Lol exactly! What's good for the goose is good for the gander. Axe this deal and I expect them to then axe Sony's shady, exclusionary dealings. Microsoft should start punching back if this looks like it'll fail.
What a joke, who cares what a few random people who have nothing to with this think. All these people panicking as if this creates some kind of monopoly which it can't. Despite COD's huge success, the overwhelming majority of gamers don't play it, same for pretty much any game except GTAV apparently.
Any court taking these clowns seriously need to have a word with themselves
Removed - inappropriate
@armondo36 No they wouldn't sue but Microsoft would have to pay Activision 3 billion. I believe it's in the contract if they walk away from the deal.
@Trmn8r Sony needs broken up even more than Microsoft.
This lawsuit is probably costing them more than if they each bought a Series S/X if the games they want ever stop coming to the system they own.
Let’s get a Pure Xbox group together and countersue these idiots.
It is interesting if nothing else, because this suit is defining the market differently then the other lawsuit. it seems people can't even agree on what market this deal falls within.
These playing people are very "exclusively" minded, a special kind that don't like to be in the same ball park as others.
@Cyberpsycho I get the feeling it doesn't matter the size of acquisition. If Microsoft drop the Activision Blizzard deal they'll do the same if they went after another Studio. They want to send a message to the big tech firms that's all.
Must be a bunch of Sony Fanboys blinded by Jim Ryan's bullshi*t
Omg such losers, literally no life.
There's really only two possibilities here. Gold digging lawyers who saw an opportunity for a class action to make money, or, a put on pageant backed either by Sony, or partisan operatives backing the FTC's objectives.
None of these things are ever face value. The only thing I can guarantee is it's not legitimately a bunch of gamers who are afraid of harm who decided to pull together millions of dollars and years to sue Microsoft as they drag it through the courts. The only question is if it's a larger organization pulling strings of puppets to continue their objective, or if it's a random money grubbing law firm looking for a quick buck.
This reminds me when someone tried suing sony because they take a 30% commission on the store.
Pointless and won't get anywhere.
Bahaha just a case where all you can do is laugh...and almost pity these no lifers.
Dezzy, you one of the 10 ? Lol.
Just love how when Sony does the same its perfectly OK and no one blinks.
Of course it's from people in San Francisco, why wouldn't it be. They either be laughed off the internet or double down and act like they were some great martyrs.
What makes me think these are Sony sockpuppets is the language of their major complaint, and the mention of 'foreclosing' rivals.
The entire complaint is far too eloquent for most gamers, but the term 'foreclosing rivals' is ALL OVER Sony's filing from a few weeks back. They use the term 'foreclosure' constantly, and it's only really used in that context by Sony.
Their whole rhetoric is acting like Microsoft Corporation and Microsoft XBOX are the same company, and some monolithic company who wants to own the PC and console market, and are gobbling up companies like Pac-Man.
That would be like saying DC Comics buying IDW is trying to topple Marvel but writing WB Discovery on the lawsuit. They're not the same thing.
@GuyinPA75 genuinely curious - when did Sony do this?
coz MS sure dropped the ball letting that happen
@NEStalgia, maybe material for a future John Grisham novel.
This suit will likely die quickly. 1) These fools do not have the deep pockets to drag out the suit and 2) they don't really have standing. Frankly, I think attorneys are just screwing them for the money.
@NoCode23 I can't wait for the film adaptation, Summons of Obligation. Starring Tom Cruise as Satya Nadella, Wayne Knight as the plaintiff, and Randy Quaid as the shadow client (Jim Ryan.)
@ValentineMeikin the "gamers" didn't write the complaint, their lawyers did. The question is if the lawyers are self funding in pursuit of settlement payday, or if they're being paid by a client to do it. A client other than a couple gamers that absolutely don't have the kind of money and time required to go after a large corporation or government body in the courts.
The wording of the complaint matches Sony but it doesn't mean much since gold diggers would just copy that public "credible" complaint for their own, too. The gold diggers look for a payout via out of court settlement to make it go away, more than expecting judgement. If they lose, MS can counter sue for legal fees and court costs.. Imagine the price tag on Microsoft lawyers ... If it's actually funded by Sony or partisans, they'll push it no matter the cost.
"gamers" DDDDDDDDDDDDD
Sony and their fanboys have truly established a new low.
Spider-Man is owned by Marvel/Disney.
Sony only has limited rights to have the games and movies.
Nintendo and Microsoft should be complaining to Marvel/Disney that the games need to be Multi-Platform again.
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