The Latest News on the Xbox/Activision Blizzard Acquisition - Weekly Roundup
Edit: This piece has been updated with the most recent news regarding the acquisition below.
A California court has denied the FTC’s request for an injunction on the Microsoft/Activision Blizzard acquisition.
In simple terms? Phil Spencer is about to be very happy.
The ongoing saga of Microsoft’s attempt to acquire Activision Blizzard has been fraught with court battles, accused CEO’s, corporate low blows, and the general energy of a trainwreck: it’s a dumpster fire, but you just can’t look away.
If Microsoft were to acquire Activision Blizzard for $169 billion – the biggest acquisition in corporate history – it would be massive for Xbox. Phil Spencer and the Xbox Team have been without a solid stable of exclusive titles or developers since the Series X/S launched back in 2020. If they owned Activision Blizzard, the people behind Call of Duty, World of Warcraft, and other major franchises, Xbox would be back in the console horse race against a hearty PlayStation and Nintendo.
If Microsoft’s acquisition was blocked by the courts to avoid a monopoly, it would be dire. Microsoft would’ve spent a year and a half and millions of dollars fighting a lengthy and messy legal battle only for it to fall through. Reputations would be irreparably stained and Xbox would be staring down the barrel of the worst nightmare in console manufacturing: zero exclusives.
Fast forward to now, and things are looking up for Microsoft. Trade commissions were initially wary, but courts and commissions alike are warming to the idea. The forced approval from the FTC means a few things:
Though the UK has blocked the deal, they will likely come around to match the other trade commissions – or Microsoft will attempt to legally circumvent this somehow. The former is more probable, but the latter would be more interesting.
Xbox could move forward with its planned acquisition date of July 18 – just a few days from now.
So, it seems like Xbox’s lengthy, ugly, pricey battle to acquire Activision Blizzard may finally come to an end in Microsoft’s favor. Nothing is set in stone – something can always change – so we here at Render Distance won’t speculate too heavily on the future of the industry. However, we can confidently say that everyone will be glad when it’s finally over.
UPDATE:
Hindsight is 20/20, I suppose.
This morning, bright and early, Phil Spencer announced that the agreement deadline has been extended by three months. Let’s do a quick update:
Know how we just said Xbox could potentially move forward with its planned agreement date? Forget that! Turns out the UK is still holding out. So, Microsoft will have to find a way to turn the Competition and Market Authority to their side. They did it with the FTC and the other regulatory bodies, so it’s entirely possible.
The MUCH more substantial news is that Xbox didn’t make their original agreement deadline of July 18th. The acquisition continues!
We’ll keep this post updated consistently with news from the acquisition as it happens, and we’ll keep it featured on the homepage.
