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  • Microsoft May Launch Mobile Game Store Next Year

    Microsoft May Launch Mobile Game Store Next Year

    Microsoft may launch a mobile game store next year in one of its most ambitious attempts to take on Apple and Google.

    In an interview with Financial Times, via CNET, CEO of Microsoft Gaming Phil Spencer said the decision is contingent on the company’s Activision Blizzard acquisition being approved.

    “We want to be in a position to offer Xbox and content from both us and our third-party partners across any screen where somebody would want to play,” Spencer told said. “Today, we can’t do that on mobile devices but we want to build towards a world that we think will be coming where those devices are opened up.”

    Microsoft plans appear to line up with the EU’s Digital Markets Act (DMA) that will require Apple and Google to allow third-party app stores on their platforms. Once the legislation goes into effect in March 2024, Microsoft will be able to compete on far more level ground.

  • EU Reportedly Poised to Clear Microsoft’s Activision Blizzard Purchase

    EU Reportedly Poised to Clear Microsoft’s Activision Blizzard Purchase

    Microsoft’s acquisition of Activision Blizzard is one step closer to closing, with the EU reportedly poised to approve the deal.

    Microsoft announced a deal to purchase Activision Blizzard for $68.7 billion in January 2022. The deal triggered investigations on both sides of the Atlantic as regulators expressed concern over Microsoft — one of the top-three console makers — controlling one of the biggest gaming studios that’s responsible for some of the industry’s biggest titles.

    The UK has launched a probe of the deal, the FTC sued to block the deal, and the EU has been ramping up its investigation.

    According to Reuters, Microsoft’s recent licensing deals, guaranteeing Call of Duty will remain on other platforms for years to come, has convinced the EU to sign off on the deal.

    The company says it is “committed to offering effective  and  easily  enforceable solutions  that address the European Commission’s concerns.”

    “Our commitment to grant long term 100% equal access to  Call of Duty to Sony, Steam,  NVIDIA and others  preserves the deal’s benefits to gamers and developers and increases competition in the market,” a Microsoft spokesperson added.

    In September, Microsoft CEO Satya Nadella said he was “very, very confident” the deal would eventually be approved. It seems he may be right after all.

  • Microsoft Signs 10-Year Nintendo Contract Over ‘Call of Duty’

    Microsoft Signs 10-Year Nintendo Contract Over ‘Call of Duty’

    Microsoft has signed a 10-year contract with Nintendo, ensuring the popular “Call of Duty” game remains on the platform.

    Call of Duty (CoD) is at the heart of the issues surrounding Microsoft’s proposed purchase of Activision Blizzard. Sony, in particular, has made the case to regulators that Microsoft will use the purchase to favor its own Xbox platform, withholding CoD from the PlayStation and other platforms.

    Eager to put those claims to rest, Microsoft just signed a binding legal agreement with Nintendo that will see the latter’s gamers playing CoD for at least the next decade.

    Microsoft President Brad Smith tweeted the news:

    https://twitter.com/BradSmi/status/1627926790172811264?s=20

    The announcement should go a long way toward undermining Sony’s claims.

  • UK Regulators Say Microsoft/Activision Deal Could Hurt Gamers

    UK Regulators Say Microsoft/Activision Deal Could Hurt Gamers

    The UK’s Competition and Markets Authority has weighed in on Microsoft’s proposed Activision purchase, saying the deal could hurt gamers.

    Microsoft announced its intention to purchase Activision Blizzard for some $69 billion. The deal met hurdles and criticism almost immediately, with regulators and competitors claiming the deal could hurt the gaming market, as well as the overall PC market.

    The CMA has been investigating the deal for months, upgrading its investigation from Phase 1 to Phase 2 after discovering reasons for concern. The CMA has now concluded that the deal would negatively impact gamers and the gaming market.

    The CMA provisionally found that being able to offer popular games will be important for cloud gaming providers to attract users as the market continues to grow and develop. The evidence available to the CMA currently indicates that Microsoft would find it commercially beneficial to make Activision’s games exclusive to its own cloud gaming service (or only available on other services under materially worse conditions). Microsoft already accounts for an estimated 60-70% of global cloud gaming services and also has other important strengths in cloud gaming from owning Xbox, the leading PC operating system (Windows) and a global cloud computing infrastructure (Azure and Xbox Cloud Gaming).

    The CMA provisionally found that buying one of the world’s most important game publishers would reinforce this strong position and substantially reduce the competition that Microsoft would otherwise face in the cloud gaming market in the UK. This could alter the future of gaming, potentially harming UK gamers, particularly those who cannot afford or do not want to buy an expensive gaming console or gaming PC.

    The CMA’s findings are just the latest challenge Microsoft is facing in its efforts to close the deal. The EU is challenging the deal and the FTC has sued to block it.

    Given this latest setback, the chances of Microsoft completing its acquisition are looking increasingly slim.

  • Activision Blizzard Will Pay $35M Fine Over Multiple Violations

    Activision Blizzard Will Pay $35M Fine Over Multiple Violations

    Activision Blizzard has reached an agreement with the SEC to pay a $35 million fine over disclosure controls and whistleblower violations.

    Activision Blizzard faced multiple accusations of sexual harassment and misconduct that went on for some time, with CEO Bobby Kotick accused of knowing about the issues, but choosing to ignore them. The SEC also accused the company of lacking the necessary disclosure controls to properly ascertain the scope of the issue.

    According to the SEC’s order, between 2018 and 2021, Activision Blizzard was aware that its ability to attract, retain, and motivate employees was a particularly important risk in its business, but it lacked controls and procedures among its separate business units to collect and analyze employee complaints of workplace misconduct. As a result, the company’s management lacked sufficient information to understand the volume and substance of employee complaints about workplace misconduct and did not assess whether any material issues existed that would have required public disclosure.

    In addition to its lack of necessary disclosure controls, Activision Blizzard is accused of violating whistleblower protection laws over a period of more than five years.

    Separately, the SEC’s order finds that, between 2016 and 2021, Activision Blizzard executed separation agreements in the ordinary course of its business that violated a Commission whistleblower protection rule by requiring former employees to provide notice to the company if they received a request for information from the Commission’s staff.

    As part of its settlement, the company has agreed to pay a $35 million fine.

    “The SEC’s order finds that Activision Blizzard failed to implement necessary controls to collect and review employee complaints about workplace misconduct, which left it without the means to determine whether larger issues existed that needed to be disclosed to investors,” said Jason Burt, Director of the SEC’s Denver Regional Office. “Moreover, taking action to impede former employees from communicating directly with the Commission staff about a possible securities law violation is not only bad corporate governance, it is illegal.”

  • EU Poised to Give Microsoft Antitrust Warning Over Activision Deal

    EU Poised to Give Microsoft Antitrust Warning Over Activision Deal

    Microsoft’s troubles with its Activision Blizzard deal are about to get worse, with the EU poised to give the company an antitrust warning.

    According to Reuters, the European Commission is preparing to serve Microsoft an antitrust warning over concerns about its effort to purchase Activision. Microsoft announced plans to purchase the game studio in January 2022, a deal worth $68.7 billion.

    Regulators on both sides of the Atlantic have expressed concerns that Microsoft could use Activision to further its position in the PC gaming market, as well as the broader PC market. The UK has launched a challenge to the deal and the FTC has sued to block it.

    Microsoft has evidently been open to remedies in an effort to win EU approval, but Reuters reports that the EU is not open to discussing remedies until after it delivers its charge sheet in the coming weeks.

    In the meantime, Microsoft remains hopeful it can satisfy concerns and move forward with the deal.

    “We’re continuing to work with the European Commission to address any marketplace concerns,” the company says. “Our goal is to bring more games to more people, and this deal will further that goal.”

  • Xbox Boss Fires Back at Sony Over Activision Deal Objections

    Xbox Boss Fires Back at Sony Over Activision Deal Objections

    Xbox boss Phil Spencer has fired back at Sony over the latter’s objections to Microsoft’s Activision Blizzard deal.

    Microsoft announced plans to purchase Activision for $68.7 billion in early 2022, a move that was met almost immediately with criticism and regulatory scrutiny. Sony has been one of the most vocal critics, claiming Microsoft will use the purchase to unfairly favor its Xbox console in the gaming market.

    According to VGC, Spencer is firing back, accusing Sony of trying to unfairly keep the Xbox a small contender to its PlayStation.

    “Sony is trying to protect its dominance on the console. The way they grow is by making Xbox smaller,” Spencer said in an interview on the Second Request podcast.

    “[Sony] has a very different view of the industry than we do. They don’t ship their games day and date on PC, they do not put their games into their subscription when they launch their games.”

    Much of Sony’s objections revolve around Activision’s Call of Duty franchise, which Microsoft has committed to keep on the PlayStation long-term.

    “Sony is leading the dialogue around why the deal shouldn’t go through to protect its dominant position on console, so the thing they grab onto is Call of Duty,” Spencer told Second Request.

    “The largest console maker in the world raising an objection about the one franchise that we’ve said will continue to ship on the platform. It’s a deal that benefits customers through choice and access.”

    It’s unclear if the Microsoft/Activision deal will go through, with regulators on both sides of the Atlantic increasingly objecting to it. The FTC most recently filed a lawsuit to block the deal from proceeding.

  • FTC Sues to Block Microsoft’s Purchase of Activision

    FTC Sues to Block Microsoft’s Purchase of Activision

    Microsoft’s efforts to purchase Activision Blizzard just took a major hit with the Federal Trade Communications (FTC) filing a lawsuit to block it.

    Microsoft announced a $68.7 billion deal in early 2022 to purchase Activision Blizzard, one of the biggest game studios in the industry. The deal sparked immediate concerns from rivals, especially Sony, that owning Activision could give Microsoft too much power in the game console market.

    Regulators on both sides of the Atlantic launched investigations, with the UK’s Competition Authority launching a challenge to the deal. The FTC has followed suit, filing a lawsuit to prevent the deal from moving forward.

    “Microsoft has already shown that it can and will withhold content from its gaming rivals,” said Holly Vedova, Director of the FTC’s Bureau of Competition. “Today we seek to stop Microsoft from gaining control over a leading independent game studio and using it to harm competition in multiple dynamic and fast-growing gaming markets.”

    The FTC makes the case that Activision is part of a very small group of top-tier game publishers that produce games for multiple platforms. The FTC is concerned that Microsoft could alter that dynamic, ending development for multiple platforms in favor of its own Xbox.

    Only time will tell if the FTC will prevail, but the odds of Microsoft’s deal moving forward just got much slimmer.

  • FTC ‘Likely’ to File Lawsuit to Block Microsoft’s Activision Deal

    FTC ‘Likely’ to File Lawsuit to Block Microsoft’s Activision Deal

    Microsoft may face its biggest challenge yet to its acquisition of Activision Blizzard, with a report saying the FTC is likely to file a lawsuit to block the deal.

    Microsoft announced a deal to purchase Activision for $68.7 billion in early 2022, one of the biggest tech acquisitions in history. The deal was met almost immediately with scrutiny, regulatory investigations, and challenges over concerns it would give Microsoft too much power in the gaming and PC market.

    According to a report by Politico, the FTC is “likely” to challenge the deal in court over concerns it would give Microsoft an unfair advantage. Nothing has been decided for certain, but the outlet’s sources say FTC commissioners are skeptical of Microsoft and Activision’s arguments in favor of the deal.

    As recently as September, CEO Satya Nadella was optimistic that the acquisition would win approval, but this latest development certainly casts doubt on that.

    As Politico points out, it would be a major blow to Microsoft’s image if the FTC manages to scuttle the deal. Microsoft has worked hard to position itself as separate from Apple, Google, Meta, and Amazon’s antitrust issues, touting itself as a company that learned its lessons decades ago and has an enlightened approach to competition.

  • EU Steps Up Its Investigation Into Microsoft’s Activision Deal

    EU Steps Up Its Investigation Into Microsoft’s Activision Deal

    Microsoft’s purchase of Activision Blizzard has hit another snag, with the EU opening an “in-depth investigation.”

    Microsoft announced at the beginning of the year that it was purchasing Activision Blizzard for $68.7 billion, making it one of the biggest deals in tech history. Almost immediately, regulators on both sides of the Atlantic expressed concern over the potential impact of Microsoft — the maker of the Xbox gaming console — owning the publisher of some of the world’s most popular gaming titles.

    Although the EU has already been investigating the deal, The Verge is reporting that it is moving to an “in-depth investigation.” The EU Commission plans to carry out its investigation over a period of 90 work days, meaning the deal could be delayed until March 23.

    The Commission said it was “concerned that the proposed acquisition may reduce competition in the markets for the distribution of console” and PC titles. The concerns don’t stop there, however, with the Commission afraid that Microsoft owning Activision could even help it shut out rivals in the broader PC market.

    “The Commission is concerned that Microsoft may reduce the ability of rival providers of PC operating systems to compete with Microsoft’s operating system Windows, by combining Activision Blizzard’s games and Microsoft’s distribution of games via cloud game streaming to Windows,” the Commission said in a statement. “This would discourage users to buy non-Windows PCs.”

    As recently as September, Microsoft CEO Satya Nadella said he was “very, very confident” the deal would be approved. Only time will tell if that sentiment proves true.

  • Microsoft Commits to Keeping ‘Call of Duty’ on the PlayStation Forever

    Microsoft Commits to Keeping ‘Call of Duty’ on the PlayStation Forever

    Microsoft has just made a major commitment, with an executive saying it will keep Call of Duty on the PlayStation forever.

    Sony has been raising objections to Microsoft’s purchase of Activision Blizzard, claiming it will give Microsoft too much control over the gaming market. Microsoft already controls one of the leading consoles, and Activision Blizzard will give it one of the leading game publishers with some of the most popular titles. Call of Duty has become the main sticking point, with Sony raising concerns that Microsoft may eventually make it an Xbox-exclusive.

    Microsoft’s Phil Spencer has set the record straight, saying that “as long as there is a PlayStation out there to ship to, our intent is that we continue to ship Call of Duty on PlayStation.”

    It’s unclear if the declaration will do much to assuage Sony’s fears, but Microsoft is pulling out all the stops to make sure it’s acquisition goes through. The company has even taken the unusual step of acknowledging that Sony’s PlayStation sales dwarf that of its Xbox.

  • Microsoft to Challenge Apple and Google With Xbox Mobile Gaming Store

    Microsoft to Challenge Apple and Google With Xbox Mobile Gaming Store

    Microsoft is getting into the app store game with an Xbox mobile gaming store that will challenge Apple and Google.

    Microsoft is in the process of purchasing Activision Blizzard, although the deal is undergoing intensive scrutiny by the UK’s Competition and Markets Authority (CMA). According to The Verge, Microsoft has filed documents with the CMA outlining its plans to launch an Xbox mobile game store.

    The filing outlines the company’s goals and vision:

    The transaction will improve Microsoft’s ability to create a next generation game store which operates across a range of devices, including mobile as a result of the addition of Activision Blizzard’s content. Building on Activision Blizzard’s existing communities of gamers, Xbox will seek to scale the Xbox Store to mobile, attracting gamers to a new Xbox Mobile Platform. Shifting consumers away from the Google Play Store and App Store on mobile devices will, however, require a major shift in consumer behavior. Microsoft hopes that by offering well-known and popular content, gamers will be more inclined to try something new.

    Microsoft clearly sees the opportunity as a major potential money-maker:

    The transaction gives Microsoft a meaningful presence in mobile gaming. Mobile gaming revenues from the King division and titles such as Call of Duty: Mobile, as well as ancillary revenue, represented more than half of Activision Blizzard’s … revenues in the first half of 2022. Mobile customers account for around three-quarters of its MAU. Microsoft currently has no meaningful presence in mobile gaming and the Transaction will bring much needed expertise in mobile game development, marketing and advertising. Activision Blizzard will be able to contribute its learnings from developing and publishing mobile games to Xbox gaming studios.

    Microsoft faces significant challenges to its Activision deal, with the CMA looking closely at the acquisition. Should the deal go through, however, it looks like Apple and Google may have some major competition on their hands.

  • Microsoft CEO ‘Very, Very Confident’ Activision Deal Will Go Through

    Microsoft CEO ‘Very, Very Confident’ Activision Deal Will Go Through

    Despite increasing regulatory scrutiny, Microsoft CEO Satya Nadella is “very, very confident” its Activision purchase will be approved.

    Microsoft announced a deal in January to purchase Activision Blizzard for a whopping $68.7 billion, making it the biggest tech acquisition in history. The deal has come under intense scrutiny in both the US and the UK.

    In spite of the potential challenges, Nadella believes Microsoft will ultimately close the deal.

    “Of course, any acquisition of this size will go through scrutiny, but we feel very, very confident that we’ll come out,” he said in a Bloomberg Television interview.

    Nadella is also confident Microsoft will be able to weather the current economic challenges, as well as help its customers to do the same. Nadella believes the company’s software is the key to achieving that.

    “The constraints are real—inflation is definitely all around us,” he said. “I always go back to the point that in an uncertain time, in an inflationary time, software is the deflationary force.”

  • UK’s Competition Authority Challenges Microsoft’s Activision Deal

    UK’s Competition Authority Challenges Microsoft’s Activision Deal

    Microsoft’s plans to purchase Activision Blizzard are facing pushback, with the UK’s Competition and Markets Authority (CMA) challenging the deal.

    Microsoft announced its plans to purchase Activision Blizzard in early January for a whopping $68.7 billion, making it one of the biggest tech deals in history. Microsoft has been purchasing game studios as a way to help it compete in the burgeoning metaverse. Since Microsoft is one of the top three console makers, however, the CMA has concerns the purchase could harm competition and consumers, concerns it outlined in a press release:

    The CMA has also received evidence about the potential impact of combining Activision Blizzard with Microsoft’s broader ecosystem. Microsoft already has a leading gaming console (Xbox), a leading cloud platform (Azure), and the leading PC operating system (Windows OS), all of which could be important to its success in cloud gaming. The CMA is concerned that Microsoft could leverage Activision Blizzard’s games together with Microsoft’s strength across console, cloud, and PC operating systems to damage competition in the nascent market for cloud gaming services.

    The CMA’s investigation has been a Phase 1 investigation until now. After discovering valid reasons for concern, the investigation will move to Phase 2:

    At Phase 2, the CMA appoints an independent panel to examine the deal in more depth and evaluate whether it is more likely than not that a substantial lessening of competition will occur as a result of the merger – a higher threshold than Phase 1. It typically builds on the work and evidence from Phase 1 with more third-party engagement via requests for information and use of its statutory powers in gathering internal documents. At Phase 2, the CMA will also carry out further in-depth review of the merging parties’ internal documents which show how they view competition and the market.

    The CMA first announced its investigation in early July, just weeks after US senators asked the Federal Trade Commission (FTC) to more thoroughly investigate the proposed merger, building on a review the FTC announced in February.

    Legislators and regulators around the world have been cracking down on Big Tech acquisitions and mergers. If the US or the UK torpedo the Microsoft/Activision deal, it will send a clear signal to tech companies about the current state of affairs.

  • Microsoft Admits Sony PlayStation Outsells Xbox Two-to-One

    Microsoft Admits Sony PlayStation Outsells Xbox Two-to-One

    No company likes to admit its competitor has a leg up, but Microsoft did just that in an effort to avoid antitrust issues.

    Microsoft is trying to purchase Activision Blizzard, one of the biggest tech acquisitions of all time. In order to convince Brazil’s antitrust authority the deal isn’t a threat, Microsoft is admitting that Sony’s PlayStation sales outpace the Xbox by a factor of two-to-one, according to TheStreet.

    “Sony has surpassed Microsoft in terms of console sales and installed base, having sold more than twice as many [as] Xbox in the last generation,” the company writes in this 25-page document in Portuguese. (TheStreet translated the document. The disclosure is at the beginning of page 18.)

    The revelation is especially notable given the issues Sony has faced keeping up with demand amid the semiconductor shortage. It is widely believed the company would have sold far more units if it could have kept production at higher levels.

  • UK Launches Competition Probe of Microsoft’s Activision Acquisition

    UK Launches Competition Probe of Microsoft’s Activision Acquisition

    The UK’s Competition and Markets Authority (CMA) has launched a probe into Microsoft’s plans to purchase Activision Blizzard.

    Microsoft made headlines in January 2022 when it announced a deal to purchase the video game company for $68.7 billion. Needless to say, a deal of that size was sure to draw regulatory scrutiny, and it certainly has. The FTC launched a review of the deal, US senators asked the FTC to investigate further, and now the CMA has launched its own probe of the deal.

    The Competition and Markets Authority (CMA) is considering whether it is or may be the case that this transaction, if carried into effect, will result in the creation of a relevant merger situation under the merger provisions of the Enterprise Act 2002 and, if so, whether the creation of that situation may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services.

    CEO Satya Nadella originally framed the deal in the context of Microsoft’s ongoing efforts to further metaverse development and the role games will play in that future. Like Apple, Meta, Google, and others, Microsoft is working to help develop the metaverse and ensure it is a major player moving forward.

    It remains to be seen if the CMA will challenge the acquisition. The agency has previously blocked major acquisitions, including Meta’s purchase of Giphy.

  • Activision Blizzard Employees Vote to Form a Union

    Activision Blizzard Employees Vote to Form a Union

    In a first for a large US video game studio, Activision Blizzard employees have voted on unionization.

    Activision Blizzard is currently being acquired by Microsoft. Prior to the deal being announced, however, the company was rocked with accusations of sexual harassment and discrimination. In view of its past, it’s little wonder employees are looking to unionize, with CBS News reporting employees have cast their votes and are waiting for the results.

    It doesn’t appear the effort encompasses all employees, but is focused on a small group of QA testers in the company’s Raven Software division. Activision Blizzard was critical of the scope of the vote, as the company had wanted it to include a wider range of Raven employees. Had it been successful, the number of votes in favor of unionization would likely have been diluted by a larger pool of potential voters.

    “We believe that an important decision that will impact the entire Raven Software studio of roughly 350 employees should not be made by fewer than 10% of Raven employees,” the company said.

  • Meta Investigating Sandberg For Allegedly Using Company Resources to Help Activision’s CEO

    Meta Investigating Sandberg For Allegedly Using Company Resources to Help Activision’s CEO

    Sheryl Sandberg has been a staple at Facebook and Meta for years, but the executive is now accused of improperly using company resources to help Activision CEO Bobby Kotick.

    Kotick has been under fire for allegedly knowing about, and turning a blind eye to, sexual harassment and discrimination issues within Activision. According to The Wall Street Journal, Sandberg was dating Kotick when reporters were investigating him. During this time, Sandberg allegedly worked with Kotick to pressure Daily Mail reporters to drop their investigation.

    Sandberg, who serves as Meta’s Chief Operating Officer, worked with a team comprised of Facebook and Activision employees, as well as paid outside consultants. In both 2016 and 2019, Sandberg contacted Daily Mail to dispute elements of their reporting.

    While many do not believe Sandberg directly threatened Daily Mail in either interaction, some believe any contact by the executive could be viewed as a threat, given the power Facebook wields over the news industry and the traffic it relies on.

    A spokesperson for Meta gave the following statement to WSJ:

    “Sheryl Sandberg never threatened the MailOnline’s business relationship with Facebook in order to influence an editorial decision.”

    Despite the statement, the company is clearly concerned of some impropriety, and is now investigating whether Sandberg crossed a line.

  • Senators Ask the FTC to Investigate Microsoft’s Activision Acquisition

    Senators Ask the FTC to Investigate Microsoft’s Activision Acquisition

    US Senators are asking the Federal Trade Commission to investigate the Microsoft/Activision deal, over concerns regarding Activision’s past scandals.

    Microsoft announced in January, 2022 that it was purchasing Activision Blizzard for $68.7 billion. Microsoft has been buying gaming studios, both for their immediate benefit, as well as their potential to help the company as it competes in the burgeoning metaverse.

    One of the major challenges the company faces with the acquisition, however, is Activision’s history of sexual harassment and discrimination. Microsoft CEO Satya Nadella addressed this in his comments when the deal was announced, saying: “After the close, we will have significant work to do in order to continue to build a culture where everyone can do their best work.”

    Nadella’s assurance is not enough for Senators Elizabeth Warren, Bernie Sanders, Sheldon Whitehouse, and Cory Booker, however. The four senators have written a letter urging the FTC to take a closer look at the deal, expressly over concerns the merger could undermine employee-led efforts to hold Activision’s leadership accountable. Similarly, it’s believed Activision CEO Bobby Kotick will be leaving following the merger, effectively being given a golden parachute and a way to save face and avoid accountability.

    “Workers at Activision Blizzard, following years of rampant sexual misconduct and discrimination and unfair labor practices, have led calls for greater transparency and accountability in the gaming industry, and we are deeply concerned that this acquisition could further disenfranchise these workers and prevent their voices from being heard,” said the senators.

    The senators also quoted FTC Chairwoman Khan as recently stating that “robust antitrust enforcement can help ensure that workers have the freedom to seek higher pay and better working conditions, and can help promote economic opportunity and widespread prosperity for all.”

    The FTC had already declared its intentions to investigate the merger. With the senators’ additional urging, the agency will likely take an even closer look than it originally planned.

  • Nintendo Veteran Doesn’t Think Meta’s Metaverse Vision Is On-Target

    Nintendo Veteran Doesn’t Think Meta’s Metaverse Vision Is On-Target

    Meta may be going all-in on the metaverse, but former Nintendo President and COO Reggie Fils-Aime isn’t a fan of its approach.

    Meta has been aggressively trying to establish itself as the market leader in the race to the metaverse, the term for the convergence of in-person, virtual, and augmented reality. The company even changed its name from Facebook to Meta to reflect its focus. Nonetheless, Fils-Aime isn’t sure the company has what it takes to be the market leader.

    “Facebook itself is not an innovative company,” Fils-Aime told Bloomberg’s Emily Chang. “They have either acquired interesting things like Oculus and Instagram, or they’ve been a fast follower of people’s ideas. I don’t think their current definition will be successful.”

    Instead, Fils-Aime believes it will be smaller companies, ones that are doing “really compelling” things, that will be the ones dictating the industry. Even some larger companies have showed more vision than Meta, with Fils-Aime citing Microsoft and its acquisition of Activision Blizzard as “a fantastic purchase.”

  • Microsoft Takes Shot At Apple and Google With ‘Open App Store Principles’

    Microsoft Takes Shot At Apple and Google With ‘Open App Store Principles’

    Microsoft is throwing down the gauntlet in the app store market, releasing a set of “Open App Store Principles” that take aim at Apple and Google.

    Apple and Google have increasingly come under scrutiny for how they run their respective app ecosystems, the Apple App Store and the Google Play Store. Epic sued both companies in an effort to force major changes, including the ability to use external payment systems and sideload apps. Although Epic lost, a majority of US states are backing its appeal.

    Meanwhile, Microsoft’s Open App Store Principles are a declaration of how Microsoft will manage its digital ecosystem, and seem to address many of the complaints Apple and Google are facing. Company President Brad Smith also makes it clear the company hopes this action will help ease any regulatory issues surrounding its attempt to acquire Activision Blizzard, a deal that is already being reviewed by the FTC.

    Today we’re announcing a new set of Open App Store Principles that will apply to the Microsoft Store on Windows and to the next-generation marketplaces we will build for games. We have developed these principles in part to address Microsoft’s growing role and responsibility as we start the process of seeking regulatory approval in capitals around the world for our acquisition of Activision Blizzard.

    Whatever the motivation, the company has outlined 11 principles, as well as three commitments. These include not locking developers into Microsoft’s payment systems, treating apps equally, not using private information to compete with third-party apps, holding its own apps to the same standard as everyone else, and respecting people’s privacy, among others.

    Smith also makes it clear that, not only will Microsoft honor existing agreements for Call of Duty on PlayStation, but the company will keep the franchise on Sony’s console into the future, beyond the current agreement. Smith says the company is also make similar arrangements to continue supporting Nintendo’s platform. The news should come as a relief to gamers concerned that Microsoft would hoard Activision’s top titles, making them Xbox-exclusives.

    It remains to be seen if Microsoft’s overtures will influence legislators and regulators but, at this time, it’s certainly more than either Apple or Google have been willing to concede. That alone may keep Microsoft out of the line of fire, when it comes to any future regulatory action.