Microsoft says this week's FTC hearing on the Activision buyout will "decide whether the deal goes forward"

Activision Blizzard
(Image credit: Activision Blizzard)

Microsoft says that if the US Federal Trade Commission gets its way and delays its Activision Blizzard purchase, it might just abandon the deal altogether.

Microsoft began defending its Activision deal against the FTC in court on Thursday, its goal being to convince a federal judge not to grant the FTC a preliminary injunction that would delay the buyout's closing. "This is going to decide whether the deal goes forward," said Microsoft's lead lawyer, Beth Wilkinson (via The New York Times).

If the judge sides with the FTC and Microsoft's Activision purchase is slapped with an injunction, it wouldn't necessarily mean the deal's over - it would just mean it can't go through until the FTC has a chance to fully review the details against US antitrust law. However, Wilkinson argued in court that a loss for Microsoft after this week-long hearing could result in a "three-year administrative nightmare," and that could cause Microsoft to abandon ship.

Like the UK's own antitrust authority, which blocked the deal in April, the FTC is concerned that Microsoft's $70b purchase of Activision Blizzard would be harmful to competition if it's successful. An example that surfaced out of the FTC's argument today is Bethesda's Indiana Jones game, which was changed from a multiplatform release to an Xbox exclusive after Microsoft bought the publisher.

Needless to say, the stakes couldn't be higher for Microsoft and Activision right now, as losing out on a deal this big and this far into the process would presumably be financially devastating. The deadline for the deal to close is July 18 and there's an eye-watering $3 billion termination fee Microsoft would have to pay if it fails to secure approval and close the transaction.

Check out our upcoming Xbox Series X games guide for a full look at what's on the horizon for the new-gen box.

CATEGORIES
Jordan Gerblick

After scoring a degree in English from ASU, I worked as a copy editor while freelancing for places like SFX Magazine, Screen Rant, Game Revolution, and MMORPG on the side. Now, as GamesRadar's west coast Staff Writer, I'm responsible for managing the site's western regional executive branch, AKA my apartment, and writing about whatever horror game I'm too afraid to finish.

Read more
Assassin's Creed Shadows cinematic screenshot
Ubisoft "won't comment" on reports of Tencent buyout, only says it's "exploring different options" and "will inform the market if and when a transaction materializes"
Black Panther, Doctor Strange, Iron Man and the Hulk in the upcoming PS5 game, Marvel Rivals.
Marvel Rivals CEO won't hesitate to pull the plug on more games and studios: "Support for a project may be increased or withdrawn entirely"
Avowed screenshot showing the lush fantasy realm called The Living Lands, with the protagonist looking at a lush cave powered by magical energy
With the release of Avowed just days away, Xbox is set to kick off its most important year of the current generation
Fragpunk
Marvel Rivals publisher indefinitely delays its other hero shooter on Xbox and PS5 2 days before its free-to-play launch
Xbox Game Pass showing Avowed, Indiana Jones, Black Ops 6 and more
With Indiana Jones and Forza Horizon 5 ports, Phil Spencer isn't "trying to move" Nintendo Switch and PS5 players "over to Xbox anymore"
Marvel Rivals Iron Man
NetEase denies report that its CEO tried to cut Marvel from Marvel Rivals because he didn't want to pay Disney for the license
Latest in Gaming
GDC The Game Developers logo
When is the Game Developers Conference 2025 and why is it so interesting?
Pokemon Legends: Z-A screenshot
Everything announced at Pokemon Presents 2025
Saros screenshot featuring the main character and am imposing monster in the background with a swirling void in its chest and multiple arms with balls of fire
Everything announced at the PlayStation State of Play February 2025
Close up shot of an anime schoolgirl with a superhero mask over her eyes in a screenshot from Mightreya.
My Steam wishlist is bigger than ever thanks to the indie devs flooding social media with 15-second clips explaining their games
FGS Spring 2025
The Future Games Show Spring Showcase is back and will have a new live segment from the GDC event floor
A close-up of the Doom Slayer in the upcoming PC game, Doom: The Dark Ages.
Xbox Developer Direct 2025: date, time, and where to stream the showcase
Latest in News
Jordan A. Mun looks at herself in a mirror in just a vest in Intergalactic: The Heretic Prophet screenshot
5 years after starting development, Neil Druckmann says Naughty Dog's new game Intergalactic: The Heretic Prophet is "still evolving and changing as we're making it"
Silent Hill f
After 2 years of silence, the next mainline Silent Hill game is getting a dedicated stream this week with "the latest news"
Original Xbox console
Former Microsoft exec says the first Xbox was killed early in favor of 360 because it was "losing money left right and center," but luckily "we could afford to hemorrhage cash"
A Monster Hunter Wilds character holding binoculars.
Despite Monster Hunter Wilds suffering monstrous performance problems on PC, it still outsold the PS5 and Xbox Series X versions in the US
Jordan A. Mun looks at herself in a mirror in just a vest in Intergalactic: The Heretic Prophet screenshot
The Last of Us creator Neil Druckmann says Intergalactic: The Heretic Prophet will also be about "being lonely," as if his zombie apocalypse wasn’t isolating enough: "I really want you to be lost"
A screenshot of Jordan drinking a soda during the reveal trailer for Intergalactic: The Hertic Prophet.
Intergalactic: The Heretic Prophet is "a game about faith and religion," which Neil Druckmann jokes will surely get less hate than The Last of Us 2