Google and Nvidia Align with Sony in Expressing Concerns to FTC over Microsoft’s Activision Acquisition

edited by: Shaurya Sharma

Last Update: January 14, 2023, 18:05 IST

The FTC is concerned that Microsoft's acquisition of Activision Blizzard could negatively affect competition in the gaming industry.

The FTC is concerned that Microsoft’s acquisition of Activision Blizzard could negatively affect competition in the gaming industry.

Google and Nvidia have voiced their concerns to the Federal Trade Commission (FTC) in the United States over Microsoft’s $68.7 billion acquisition of Activision Blizzard, aligning themselves with Sony.

Google and Nvidia have joined Sony in expressing their concerns to the Federal Trade Commission (FTC) in the United States regarding Microsoft’s $68.7 billion acquisition of Activision Blizzard.

The FTC is concerned that Microsoft’s acquisition of Activision Blizzard could negatively affect competition in the gaming industry. They argue that the deal would give Microsoft an unfair advantage by giving it control over a wide range of franchises. In light of this, according to a recent Bloomberg report, the FTC has scheduled an in-house trial for August, during which either company could be called to testify.

Google and Nvidia presented evidence to the FTC to bolster their argument that Microsoft’s acquisition of Activision Blizzard would give them an unfair advantage in the cloud, subscription and mobile gaming markets.

When briefing the FTC about Microsoft’s acquisition of Activision Blizzard, Nvidia, being the market leader in graphics cards and owner of the streaming service GeForce Now, stressed the importance of equal access to gaming titles. Google, the maker of the Stadia cloud gaming platform, has also expressed concern.

The acquisition would be anti-competitive according to Sony, whose PlayStation console is the main competitor to Microsoft’s Xbox gaming brand. Microsoft has been eager to offer various deals – including its offer for PlayStation – offering a 10-year contract to get the latest releases of Call of Duty titles.

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