FTC has filed a lawsuit requesting the court to block the agreement between Microsoft and Activision Blizzard

On Monday, June 12, the United States Federal Trade Commission (FTC) filed a separate lawsuit in the federal court of California to hinder the deal between Microsoft and Activision Blizzard. According to the FTC's statement, if Microsoft acquires Activision, it would have the "ability and incentive to withhold or degrade studio content with the aim of significantly reducing competition."

The regulator also noted that without court intervention, the merged company "could alter Activision's operations and business plans" and allow Microsoft to access confidential business information. The FTC learned that Microsoft and Activision could finalize the deal as early as Friday, June 16. That is why the commission requested the court to block the deal until Thursday, June 15.

Microsoft has already commented on the FTC's new move. Vice President and President of the company, Brad Smith, stated that Microsoft "welcomes the opportunity to present the case in federal court." This indicates that the company is prepared to argue its points and demonstrate that the deal does not violate competition laws.

It is worth reminding that the Microsoft-Activision Blizzard deal has already been approved in most markets, including the European Union, which is one of the three major markets where approval is required. The other two markets are the United Kingdom and the United States.