Why is FTC suing Microsoft?

Why is the FTC suing Microsoft over its Activision Blizzard merger? Like regulators in the EU and UK, the FTC is concerned that the deal could stifle competition in the gaming sector. Microsoft's plan to acquire gaming giant Activision Blizzard has a major challenge ahead, as a US regulator is seeking to prevent it.

Why is the FTC trying to block Microsoft?

The FTC's argument against Microsoft is that by acquiring Activision Blizzard it would “substantially lessen competition” in the “relevant market,” per antitrust law as laid out in the Clayton Act.

Is FTC suing Microsoft?

FTC sues to block Microsoft-Activision Blizzard merger.

What did Microsoft get sued for?

The Federal Trade Commission began an inquiry in 1992 over whether Microsoft was abusing its monopoly in the PC operating system market.

Why is Activision suing Microsoft?

The lawsuit filed in a US federal court says the $69bn (£56bn) deal by the Xbox console maker to purchase its rival will "create a monopoly in the video game industry". The complaint comes two weeks after US regulators filed a case with an administrative judge to block the deal.

Why Microsoft Is Being Sued | GameSpot News

What happens if Microsoft buys Activision?

Microsoft says it needs the deal to boost the Xbox

Microsoft says buying Activision would let it put more big titles on Game Pass - its Netflix-style subscription - and make more games for mobile phones, where there are big profits to be made.

Why did Microsoft overpay for Activision?

Most people think that Microsoft overpaid with the $70 billion price tag on Activision Blizzard. Not necessarily. People tend to look at this as a consolidation deal, where Microsoft buying a company at a decline, which is not. The important point of the deal was to facilitate Category Acceleration.

What did Microsoft do wrong?

Microsoft was accused of trying to create a monopoly that led to the collapse of rival Netscape by giving its browser software for free. Charges were brought against the company which was sued by the Department of Justice in 1998.

Why did Apple have a case against Microsoft?

Apple Inc. had agreed to license certain parts of its GUI to Microsoft for use in Windows 1.0, but when Microsoft made changes in Windows 2.0 adding overlapping windows and other features found in the Macintosh GUI, Apple filed suit.

What mistakes did Microsoft make?

Would the FTC return your money?

The FTC enforces consumer protection laws to stop illegal business practices and get refunds to people who lost money.

Does the FTC pay you?

The FTC typically enforces a $10 minimum for checks we mail. In 2021, the FTC completed subsequent distributions in 20 cases.

How much is Microsoft being sued for?

Microsoft Sued by Gamers Over $69 Billion Activision Deal (2)

What is FTC and why it is complaining?

About the FTC

Our mission is protecting consumers and competition by preventing anticompetitive, deceptive, and unfair business practices through law enforcement, advocacy, and education without unduly burdening legitimate business activity. Learn more about the FTC.

What is the point of the FTC?

The FTC enforces federal consumer protection laws that prevent fraud, deception and unfair business practices. The Commission also enforces federal antitrust laws that prohibit anticompetitive mergers and other business practices that could lead to higher prices, fewer choices, or less innovation.

Why Microsoft can t buy Activision?

The US Federal Trade Commission (FTC) has moved to block Microsoft's takeover of video game company Activision Blizzard, citing concerns that the deal would thwart competition by denying rivals access to popular gaming content.

Who won the Apple vs Microsoft lawsuit?

On September 19, 1994, a panel of judges in the 9th Circuit U.S. Court of Appeals upheld by a 3-0 vote a Federal District Court's 1992 ruling that Microsoft's Windows and Hewlett-Packard's NewWave screen displays (or graphical user interfaces) did not violate Apple's copyrights in its Macintosh screen display.

Who is more profitable Apple or Microsoft?

Apple, Google, and Microsoft: revenue comparison 2008-2022

In the fiscal year 2022, Alphabet's revenue was 282.83 billion U.S. dollars. Comparatively, in the fiscal year of 2021, hardware-focused Apple's 365.82 billion U.S. dollar revenue was over double the amount of Microsoft's 168.09 billion U.S. dollars.

Did Microsoft really save Apple?

It was in early August 1997 that Microsoft rescued Apple from the brink with a life line of $150 million. Remember, that was a princely investment in those days. The deal was all the more remarkable because Gates and Jobs did not see eye to eye on most issues.

What is Microsoft lacking in?

The main problem that Microsoft faces is the lack of innovation in the smartphone business and addressing this issue will enable it to grow its market share not only in the United States but also globally.

How many people get fired from Microsoft?

Microsoft: The software company said it will cut about 10,000 jobs, almost 5% of its workforce. Google: Google became the most recent in the industry to announce layoffs, saying 12,000 workers, or about 6% of its workforce would leave them. Spotify: The music streaming service is cutting 6% of its global workforce.

What is Microsoft corruption?

Elabd estimates that more than $200 million each year is spent on bribes and kickbacks linked to the company, often in countries like Ghana, Nigeria, Zimbabwe, Qatar and Saudi Arabia. For the regions he worked in, he believes more than half of the salespeople and managers took part.

What does Microsoft buying Activision mean for gamers?

The deal would grant Microsoft ownership over globally recognized franchises like Call of Duty, World of Warcraft, and Candy Crush, to name a few. It also creates a new division in the company, Microsoft Gaming, to be led by the company's head of its Xbox division, Phil Spencer.

What does Microsoft owning Activision mean?

By buying Activision Blizzard, Microsoft is bringing some of the world's most popular franchises, like Call of Duty and World of Warcraft, under its umbrella, which could easily enhance its Gamepass offering.

Why did Microsoft buy Call of Duty?

“Its vision for the transaction is simple: Xbox wants to grow its presence in mobile gaming, and three-quarters of Activision's gamers and more than a third of its revenues come from mobile offerings,” according to Microsoft.