US Regulator Appeals Decision in Microsoft's Activision Blizzard Acquisition Case

The US Federal Trade Commission has lodged an appeal against a recent court ruling that denied a temporary injunction against Microsoft's proposed acquisition of Activision Blizzard. According to reports by IGN, the FTC will continue to challenge the merger despite the setback. The appeal comes after Judge Jacqueline Scott Corley ruled in favor of Microsoft, allowing the company to proceed with the acquisition before the deal's July 18 deadline and the FTC's scheduled administrative hearing in August. In response to the ruling, an Activision Blizzard spokesperson stated, 'The facts remain unchanged, and we are confident that the US will join the 39 countries where the merger can be completed.' Microsoft president Brad Smith expressed his disappointment, saying, 'The court's decision clearly indicates that this acquisition benefits both competition and consumers. We are disappointed that the FTC is pursuing a demonstrably weak case and will oppose further attempts to delay the transaction.' The denial of a temporary block follows a week-long court hearing held last month. If Microsoft fails to complete the transaction by July 18, it will be required to pay $3 billion to Activision Blizzard and renegotiate the deal. Although the merger has been cleared to proceed in the US and EU, Microsoft still needs to secure approval from the UK. Following the US court ruling, Microsoft announced that it had been granted permission to propose a modified acquisition addressing the concerns of the UK's Competition and Markets Authority, which had previously blocked the deal. An appeal against this decision was scheduled for July 24 but has been paused at the request of both Microsoft and the CMA.