The Federal Trade Commission on Thursday sued to block Microsoft’s $69 billion bid to buy video game publisher Activision Blizzard, alleging that the deal will enable the tech giant to suppress competition in gaming.
The move represents another aggressive step taken by competition regulators to rein in consolidation of the tech industry. It marks a roadblock in Microsoft’s plans to expand its gaming arm. The deal, if approved, would’ve married Microsoft, which owns the Xbox console and a game streaming service, and Activision, maker ofThe FTC said that the proposed transaction would enable Microsoft to stifle competition to Xbox and its “rapidly growing” game streaming service.
The commission voted along party lines to challenge the acquisition, the largest ever in the video game industry, with three Democrats voting in favor of suing and one Republican against.
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