Microsoft wins dismissal of gamers’ suit over $69 bln Activision deal

On March 21st, Reuters reported: A private consumer antitrust case was filed against Microsoft Corp, over its $69 billion planned acquisition of “Call of Duty” producer Activision Blizzard Inc deal. was dismissed on Monday, but the plaintiffs were given 20 days to amend their complaint.

San Francisco’s federal court concluded that the plaintiff’s contention that the planned purchase would hurt market competition “lacks allegations.” The plaintiffs were a group of video game players.

U.S. District Judge Jacqueline Corley ruled that plaintiffs’ claims that the merger may lead to “higher pricing, fewer innovation, less creativity, less consumer choice, diminished productivity, and other possible anticompetitive impacts” were not enough. “Why? How?”

The largest-ever merger in the gaming sector is still being challenged by the U.S. Federal Trade Commission (FTC), and this ruling will not change that. Microsoft Activision deal proposal was unveiled last year, and the company is now under investigation for anticompetitive practices in both the European Union and the United Kingdom. Microsoft said the transaction will not hurt the video gaming industry.

Independent of government intervention, individual customers in the United States are able to contest mergers and acquisitions under the country’s antitrust legislation. In early August, the FTC will hold a hearing to consider the evidence presented.

Microsoft’s legal team and spokespeople did not immediately reply to requests for comment.

To “address all the aspects in which the court stated we need to claim more.” The plaintiff’s attorney Joseph Saveri said in an interview with Reuters. “We intend to file an updated complaint with extra factual information.”

The hearing scheduled to decide whether or not to grant a preliminary injunction was canceled by Corley. On April 12, the court will hold a status hearing.

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Zain Hanif

I'm a lifelong fan of anime and video games, and I have a deep passion for Japanese culture. I've been watching anime and playing video games since I was a kid, and I'm always up-to-date with the latest releases. My knowledge of the history and culture of the anime and gaming industries is extensive, and I love to explore new content in these areas.

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