Judge Agrees with FTC on Cloud Gaming: Microsoft and Activision Involved

    Published on:

    Microsoft and the US Federal Trade Commission (FTC) are currently embroiled in a lawsuit, with concerns over the future of cloud gaming adding another layer of complexity to the case. The judge overseeing the lawsuit, Judge Corley, has concurred with the FTC’s stance on cloud gaming, leaving skeptics worried about the potential consequences of Activision’s acquisition of Blizzard.

    During the final day of the hearing, a Microsoft lawyer expressed uncertainty about the future of cloud gaming technology. In contrast, an FTC lawyer confidently proclaimed that the future of the video game market lies in the cloud. It was at this juncture that Judge Corley intervened, stating that the cloud gaming market could indeed become central to the industry, thereby aligning herself with the FTC’s viewpoint.

    The concerns surrounding Microsoft’s acquisition of Activision Blizzard are not unfounded, as the UK competition authority, the CMA, previously blocked a major merger in the sector due to similar concerns. Notably, traditional consoles did not encounter any obstacles during such mergers. The apprehension stems from the possibility that Judge Corley might follow in the CMA’s footsteps and block the deal entirely. However, it should be emphasized that there is no certainty regarding her decision, and she could potentially opt for demanding damages instead. The European Union, which approved the acquisition, has taken this stance.

    The verdict from this lawsuit will have significant implications for the gaming industry and the direction it will take in the future. This debate between Microsoft, the FTC, and Judge Corley underscores the evolving landscape of cloud gaming. As the industry continues to adapt to technological advancements, the decision made in this case will serve as a critical precedent.

    Cloud gaming is a concept that allows users to stream games directly to their devices over the internet, eliminating the need for physical copies or high-end hardware. Proponents argue that it offers increased accessibility and convenience and potentially opens doors to new experiences. However, detractors express concerns about the impact on competition and the potential for consolidation within the gaming industry.

    With Judge Corley’s expressed agreement with the FTC’s stance on the cloud gaming market, it appears that the future path of gaming might indeed be cloud-centric. This implies that industry players will need to adapt accordingly to remain competitive. As this lawsuit unfolds, the implications for Activision’s acquisition by Microsoft become increasingly uncertain. The gaming community and industry observers will be eagerly awaiting the judge’s ruling and its subsequent impact on the ever-evolving world of gaming.


    Leave a Reply

    Marques Daniel is the Editorial Team Lead at Gaming Ideology. A fan of 2D games like Cuphead, Marques combines his passion for gaming with his expertise in reporting to deliver the latest gaming news and insights to the community.