The Clap
The Federal Trade Commission (FTC) sued in order to block Microsoft’s (NASDAQ:MSFT) $69 billion Activision Blizzard (NASDAQ:ATVI) acquisition.
What
The FTC feels that the deal would put Microsoft in a position to harm competition, by negatively affecting game prices and quality.
So What
If the deal is to go through, Microsoft would become the third biggest game publisher in the world.
The anti-competitive allegation from the FTC poses one of the biggest challenges facing the merger deal.
Now What
Despite the allegations from the FTC, both Microsoft and Activision remain confident that the deal will go through.
