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US antitrust body to appeal court ruling on Microsoft’s Activision deal
The US Federal Trade Commission said in a court filing yesterday that it would appeal a federal judge’s ruling that Microsoft could go forward with its US$69 billion purchase of Call of Duty maker Activision Blizzard. — Reuters pic

WASHINGTON, July 13 — The US Federal Trade Commission said in a court filing yesterday that it would appeal a federal judge’s ruling that Microsoft could go forward with its US$69 billion (RM321 billion) purchase of Call of Duty maker Activision Blizzard.

The filing had no details on the appeal.

Microsoft did not immediately respond to a request for comment.

US District Judge Jacqueline Scott Corley in San Francisco rejected on Tuesday the Biden administration’s argument that the deal would hurt consumers by giving Xbox game console-maker Microsoft exclusive access to games including the best-selling Call of Duty.

Experts disagreed on Tuesday over whether the agency had good grounds for an appeal, with some saying that appeals courts tend to defer to judges on matters of fact but others said that Judge Corley erred in stating the standard for stopping a deal.

The deal is Microsoft’s biggest ever, and the largest in the videogame industry’s history. Microsoft’s shares gained 1.4 per cent yesterday to close at US$337.20.

To address the agency’s concerns, Microsoft agreed to licence Call of Duty to rivals, including a 10-year contract with Nintendo, contingent on the merger closing. — Reuters

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