Ten gamers are trying through the court to block a deal in which Microsoft wants to take over Activision Blizzard. They believe the deal will give the corporation too much power and help stifle competition in the video game industry. Meanwhile, Microsoft plans to buy video service Netflix to offer a video game streaming service on its devices.
According to Reuters, 10 gamers from California, New Mexico and New Jersey have filed a lawsuit in federal court in California. They believe that the takeover of Activision Blizzard, developer of the popular game Call of Duty, would give Microsoft enormous power in the video game market, the ability to limit product releases, reduce consumer choice, raise prices and further suppress competitors.
A Microsoft spokesman, however, argues that the takeover of Activision Blizzard does not hide all of these risks, on the contrary, it will increase competition and create more opportunities for gamers and developers. In turn, the president of Microsoft Brad Smith said that the company is confident in its rightness and is ready to represent its interests in court.
It is noteworthy that it's not only 10 gamers that didn't like this deal. Recently, the U.S. Federal Trade Commission also spoke out against the deal between Microsoft and Activision. Commission experts say that Microsoft wants to buy the largest independent game studio in order to hurt the competitors and then be able to manipulate prices on the market.
In Europe, the corporation is also in trouble, this time with the EU antitrust regulator, to whom Microsoft must also present its arguments in support of the deal.
No official word yet on the deal, but according to Reuters, Microsoft plans to buy video service Netflix for $190 billion, which would allow the company to offer a video game streaming service on its devices.
It's still hard to say how this deal (if it happens, of course) will affect competition in the video game industry.