A judge has accepted US regulators’ plea to temporarily halt Microsoft’s $69 billion (£56 billion) merger with Activision Blizzard. According to the court, the temporary restraining order is “required to protect the status quo while the case is pending.” According to the US Federal Trade Commission (FTC), the merger might “significantly reduce competition” in the sector

A two-day hearing has been scheduled for June 22 in San Francisco. The acquisition of Activision Blizzard, the company behind Call of Duty and Candy Crush, would be the largest in video game history. It has divided competition authorities in the United Kingdom, the United States, and Europe. While the European Union approved the takeover, the United Kingdom blocked it. Microsoft and Activision must obtain approval from regulators in the United Kingdom, the European Union, and the United States for the transaction to proceed, reports Technology News UK.

According to the FTC, the agreement would offer Microsoft’s Xbox platform exclusive access to Activision titles, leaving competitors Nintendo and Sony in the cold. Microsoft and Activision now have until June 16 to present legal reasons in opposition to the preliminary injunction, and the FTC must respond by June 20. Microsoft has stated that acquiring Activision will help both gaming firms and players. For over a decade, it has offered to sign a legally enforceable deal with the FTC in order to provide Call of Duty games to competitors such as Sony.

 

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