The U.S. Federal Trade Commission plans to sue Microsoft on Monday to block Microsoft from completing its $69 billion acquisition of video game giant Activision Blizzard, blocking the biggest consumer tech deal in decades. Federal efforts to do so are escalating, according to two people familiar with the matter. Said.
The move is the latest regulatory challenge to the big deal between Microsoft and Activision, and a test of whether the tech giant can complete a major acquisition amid a backlash against corporate power.
Last year, the FTC filed a lawsuit through an internal court to block Microsoft’s acquisition of Activision, arguing that it would hurt competition in various areas of the video game market. Unlike the FTC’s internal courts, federal courts can issue restraining orders that block the completion of transactions, which is why the agency has filed separate lawsuits.
The UK Competition and Markets Authority also moved to block the deal in April, but European Union regulators said they could go ahead with the deal.
An FTC spokeswoman did not respond to a request for comment.
Microsoft President Brad Smith said in a statement that the company welcomed the “opportunity to take the case to federal court.”
This is a news article in development and will be updated.
