On Monday, a fresh legal challenge was filed against Microsoft's MSFT proposed $68.7 billion acquisition of Activision Blizzard ATVI by a group of video gamers.
This legal action is a result of an earlier antitrust lawsuit that was dismissed by U.S. District Judge Jacqueline Scott Corley in March, as reported by Reuters.
See also: A Congress Member Sold Up To $100K In Activision Blizzard Stock: Here's What You Need To Know
The plaintiffs' first complaint was rejected because the judge decided there was insufficient evidence supporting their claims that the deal would have a negative impact on industry competition. Nevertheless, the judge permitted the plaintiffs to file a new lawsuit challenging the largest-ever video game industry deal.
The 73-page document includes some internal documents from Microsoft and claims that the acquisition would lead to reduced competition in the gaming industry. In addition, the lawsuit also features information provided by rival company Sony Interactive Entertainment Inc SONY.
A Microsoft spokesperson commented on the complaint, telling Reuters it contains "unsupported and implausible claims about the deal's effect on competition."
The spokesperson also said that Microsoft will "bring more games to more people" thanks to the acquisition.
On March 24, the U.K.'s Competition and Markets Authority (CMA) provided a provisional update that indicated that it does not anticipate any significant anticompetitive effects resulting from the deal.
In a press release, the regulator stated that "the CMA inquiry group has updated its provisional findings and reached the provisional conclusion that, overall, the transaction will not result in a substantial lessening of competition in relation to console gaming in the UK."
Read Next: Microsoft Working On Windows Handheld Device To Shake Up Gaming? What Leaked Video Shows
Image credits: 5 second Studio on Shutterstock and logos on Wikipedia
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.