Earlier this week, WCCFTech reported on the U.S. Federal Trade Commission’s (FTC) push into the Microsoft/Activision Blizzard acquisition. Four U.S. senators have jointly sent a letter to the FTC urging government agencies to investigate the giant deal that has taken the gaming industry by storm.
The letter was signed by Senators Elizabeth Warren (Massachusetts), Bernie Sanders (Vermont), Cory Booker (NJ) and Sheldon Whitehouse (Rhde). The letter raised concerns about industry consolidation, the impact on workers, and a lack of accountability from Activision Blizzard CEO Bobby Kotick.
Now, as the investigation progresses, the outside world is learning more about the FTC’s intentions. According to a recent report by The Information, the scrutiny isn’t limited to which rival consoles will have the chance to get famous games. Instead, it will also extend to the deal’s impact on consumer data and the game developer market.
The FTC is now investigating whether the deal would prevent Sony from offering Activision titles as part of a subscription service that has become increasingly important to video game players. Microsoft has previously said they will allow Sony to continue to own the Call of Duty franchise.
Yet another aspect of the deal currently under investigation, according to FTC Chair Lina Khan, is the combined company’s access to consumer data, the labor market for game developers, and the deal’s response to allegations of discrimination and hostility at Activision Blizzard. Workplace Impact. In addition, there is a potential impact on the investigation of competing metaverses.
The investigation is still in the early stages, and Microsoft is expected to close the deal as early as sometime in 2023, barring an FTC prosecution. Turning to Activision Blizzard’s work environment issues, in a settlement with the Equal Employment Opportunity Commission, Activision Blizzard paid up to $18 million to affected parties.