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MMOBOMB
Feb 10, 2024
Following the mass layoff of over 1900 Activision Blizzard King employees, Microsoft is now saying it wasn't their fault. Following the release of those employees, the FTC filed a complaint to the courts saying that Microsoft misrepresented its intentions to the FTC, the court, and the public during the hearings that took place on the matter of the merger before it took place. Microsoft, of course, is quick to defend itself, but its reasoning is a little weak.
The following was part of Microsoft's response to the complaint:
"Consistent with broader trends in the gaming industry, Activision was already planning on eliminating a significant number of jobs while still operating as an independent company. The recent announcement thus cannot be attributed fully to the merger. More important, Microsoft continues fully to stand behind its representations to this Court."
Microsoft maintains that it continues to operate the post-merger company in a way that will be ready to divest in the unlikely event that the court orders it to do so, as agreed before the merger.
I often find the truth to be somewhere in the middle when two parties disagree, but we'll just have to wait and see if the FTC complaint holds any water with the courts. Either way, it was a bad look for Microsoft, who seemingly made promises that such sweeping changes wouldn't occur on their watch.