Submitted by marketrent t3_zrkbfi in technology
marketrent OP t1_j13mpde wrote
Excerpt:
>Microsoft faces legal action from 10 gamers to block its merger with Call of Duty maker Activision Blizzard.
>The lawsuit filed in a US federal court says the $69bn (£56bn) deal by the Xbox console maker to purchase its rival will "create a monopoly in the video game industry".
>The proposed acquisition would give Microsoft "far-outsized market power in the video game industry," according to the complaint "with the ability to foreclose rivals, limit output, reduce consumer choice, raise prices, and further inhibit competition."
>The complaint comes two weeks after US regulators filed a case with an administrative judge to block the deal.
>The takeover, which was announced in January, also faces legal action in the European Union and the UK.
>Microsoft has not responded to the BBC for comment.
Monica Miller in Singapore, 21 December 2022.
LiterallyZeroSkill t1_j13wesd wrote
How the hell is that a monopoly? What market power. Microsoft is third in market share, behind Sony and Nintendo. Even if this acquisition makes Xbox skyrocket in sales, doesn't mean it's a monopoly.
Do Nintendo & Sony no longer exist as hardware competitors? Do Nintendo, Sony, Rockstar, Ubisoft, Square, Capcom etc no longer exist as game developers?
How the hell is this even close to a monopoly? Everyone who wants to buy a videogame has to purchase an Xbox now? What?
ZRSigs t1_j14xi3m wrote
And if you look at Microsoft, Sony, and Nintendo, Sony and Nintendo are the WORST offenders of producing console exclusives for their platform. Its such a shit argument from Sony that they are worried that games wont be available on all platforms for everyone to join. Microsoft has been doing WORK trying to bring cross platform to as many games as possible while Nintendo and Sony seem hell bent on keeping us in the console wars.
I think if this merger is blocked because Sony is worried they might lose access to Call of Duty, Sony should have to make all of their games available on all consoles. I mean thats the point they are arguing right? Games should be available to everyone so lets make them available to everyone.
nyaaaa t1_j144fq0 wrote
Why would we need an agency and lengthy process, if all we had to do is stop the two last companies in a sector to merge.
antunezn0n0 t1_j15al5u wrote
Activision blizzards is the third biggest game publisher that's pretty much making exclusive a third of the whole market. just buying the competition right after buying another huge publisher in Bethesda's parent company
Words_Are_Hrad t1_j185uqx wrote
>Activision blizzards is the third biggest game publisher that's pretty much making exclusive a third of the whole market
Hahahahahahahaha!! You can't do basic math you genius!! If the third largest publisher was a third of the market that means the next two are each more than a third and together would represent MORE than the WHOLE market!! Great fucking argument mate!!! Especially when it's not even third and Sony has more game revenue than MS and ActiBlizzard combined... I'm sure you are very concerned about Sony's market share though!
Ok_Championship_2180 t1_j16q3v5 wrote
If Microsoft buys activision, they will buy take two next, then Ubisoft and EA. I don’t know how people are so blind to them trying to just buy out the whole gaming industry.
LiterallyZeroSkill t1_j16qan1 wrote
THEN THEY WOLL BIY SONY AND NINTNEDO AND APPLE AND GOOGLW
WAKE UP SHEEPLE WE HAVE TO STOP THEM!!
Words_Are_Hrad t1_j185zp3 wrote
Gotta love seeing text book slippery slope fallacies in the wild!!
i_am_covered t1_j13z9db wrote
It does not have to be a pure monopoly. It’s simply an unreasonable market advantage. Call of Duty alone is normally the top two selling games each year. That’s a huge amount of power. It also paves the way for huge acquisitions by Sony and Microsoft. Three manufacturers absolutely dominate console game sales and Activision is the largest of them. If this domino falls, it’s a race to the bottom so far as other acquisitions are concerned.
LiterallyZeroSkill t1_j141326 wrote
>It does not have to be a pure monopoly.
Then it's not a monopoly. A monopoly is the absence of competition. Gaming is extremely competitive with many players in the industry both from hardware (Nintendo, Sony, Valve, Meta, NVIDIA, AMD, Apple, Google etc) and software (the millions of game developers who aren't owned by Microsoft).
Even if Microsoft's acquisition of Activision Blizzard goes through, gaming is still extremely competitive with many players in the industry. So it's not at all remotely close to a monopoly.
>Call of Duty alone is normally the top two selling games each year. That’s a huge amount of power.
Just because a franchise might be popular and might be exclusive to a console doesn't mean a monopoly. Are there games available on non-Microsoft products? Yes. Are there other shooters available on other platforms? Yes.
Mario Kart, Animal Crossing, Mario, Smash Bros, Pokemon and Zelda games are huge sellers and are only available on the Nintendo consoles. Better contact the FTC!
antunezn0n0 t1_j15avhi wrote
there's a difference between developing your own projects and just outright buying established publishers. the Bethesda adquisición was already huge. Activision isn't just a studio is the third largest videogame publisher
i_am_covered t1_j1468l9 wrote
You asked how it was close to a monopoly. I thought it was fairly clear but, evidently not! Happy to have been of assistance.
BrokeBoiForLife t1_j14okxc wrote
Yea you’re right. They would have no competition if you simply ignore their competition. Great take
i_am_covered t1_j14pv29 wrote
Antitrust legislation is rarely leveled against companies for having zero competition. It’s used to prevent companies from securing a market advantage that would be unfriendly towards customers. I know this can be a nuanced issue but I’m really shocked that so many people just can’t grasp how Microsoft’s acquisition of the largest company in gaming should be reason for concern.
[deleted] t1_j14qjtc wrote
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AudioOff t1_j14dc7b wrote
This is an absurd take.
i_am_covered t1_j14oinh wrote
Really? I must say I am surprised to hear that people are not concerned about the consolidation of power at the top of the gaming industry. Thankfully, it looks like the FTC is. So that’s nice!
AudioOff t1_j14pmji wrote
Life is full of surprises.
BattleBull t1_j14a5ro wrote
So it will be thrown in the trash as the consumer likely wont have standing.
[deleted] t1_j15a6z3 wrote
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submittedanonymously t1_j13q2nh wrote
Not sure why you were downvoted for supplying info from the article.
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