Microsoft settles antitrust lawsuit with players over Activision Blizzard deal

Microsoft has settled an antitrust lawsuit brought by a group of players over the Activision Blizzard deal.

The lawsuit, which was filed in California in 2022 attempted to argue that the merger would create a monopoly in the gaming, subscription service, and cloud gaming space.

As reported by The Hollywood Reporter,  this week both parties notified the court that the case should be dismissed with prejudice, which means it cannot be refiled. Terms of the agreement weren’t disclosed.

In December 2022, the group filed a complaint in a federal court in California, arguing that the $69 billion deal could substantially lessen competition or create a monopoly in violation of the Clayton Act.

The private anti-trust action, which was brought by 10 video game players in California, New Mexico and New Jersey, was initially dismissed in March after US District Judge Jacqueline Scott Corley found it failed to present sufficient evidence to support their claims.

However, the plaintiffs were given 20 days to refine their legal challenge and filed an amended lawsuit containing redacted information from Microsoft, including a strategy memo, and new information from the deal’s chief opponent, Sony Interactive Entertainment.

A Microsoft spokesperson told Reuters at the time that the amended complaint contained “unsupported and implausible claims about the deal’s effect on competition” and that the acquisition would “bring more games to more people”.