In a development reported by The Verge, the US Federal Trade Commission (FTC) has officially abandoned its efforts to block Microsoft’s acquisition of Activision Blizzard King. The FTC formally dismissed the case on May 22, 2025, bringing an end to its prolonged attempt to stop what has been described as the biggest acquisition in gaming history.
Microsoft first revealed its plan to acquire Activision Blizzard King in early 2022. By the end of that year, the FTC had filed a lawsuit against the tech giant, initiating a protracted legal battle that persisted even after the FTC’s earlier attempts to halt the deal were unsuccessful. Despite losing a crucial opportunity to stop the acquisition in April 2025, as detailed in this report, the agency had continued its challenge until now.
The FTC’s dismissal filing states, “On May 7, 2025, the Ninth Circuit upheld the decision of the United States District Court for the Northern District of California in FTC v. Microsoft Corp… denying the Commission’s request for a preliminary injunction to block the acquisition of Activision Blizzard, Inc. by Microsoft Corp.“
It further clarifies, “After careful consideration, the Commission has decided that the public interest is best served by dismissing this administrative litigation. Accordingly, the Complaint in this matter is hereby dismissed.“
Microsoft’s Vice Chair and President, Brad Smith, expressed relief, stating, “Today’s decision is a victory for gamers nationwide and for common sense in Washington, D.C. We are thankful for the FTC’s announcement today.“
Despite the FTC’s earlier failed attempt to block the acquisition, Microsoft completed the purchase of Activision Blizzard King in October 2023. However, the FTC persisted in challenging the deal even after its completion. The agency has also criticized Microsoft’s post-acquisition decisions, such as increasing the price of Game Pass and laying off thousands of employees.