Best of Bloomberg Intelligence (07/11/2023)

The video discusses the FTC's challenge against the Microsoft-Activision merger, focusing on the FTC's allegations that Microsoft could foreclose competitors by acquiring Activision's content, particularly Call of Duty. The judge found the FTC's evidence insufficient, especially regarding Microsoft's incentive to foreclose. Despite this setback, the FTC, under Lina Khan, remains committed to tackling market consolidation. The UK's aggressive stance on the merger is also highlighted, with ongoing settlement discussions suggesting a potential resolution.

What was the main challenge for the FTC in the Microsoft-Activision merger case?

• Demonstrating the merger would lead to a monopoly

• Showing the merger was a horizontal integration

• Proving Microsoft and Activision were direct competitors

• Convincing the judge of the potential foreclosure of competitors

Why did the judge not agree with the FTC's case against Microsoft?

• Microsoft was not acquiring any new content

• The FTC could not prove Microsoft's incentive to foreclose competitors

• Microsoft had no interest in the gaming market

• The FTC failed to show Microsoft's ability to foreclose competitors

What was the FTC's concern regarding Microsoft's acquisition of Activision content?

• It would lead to higher prices for consumers

• Microsoft could potentially foreclose competitors in gaming markets

• Activision would stop producing new games

• Microsoft would dominate the hardware market

What is Lina Khan's mission regarding market consolidation?

• To encourage more mergers in the tech industry

• To reduce government intervention in mergers

• To promote international mergers

• To stop the consolidation of big tech platforms

How is the UK's approach to the Microsoft-Activision deal described?

• More aggressive than both the US and EU

• Less aggressive than the EU

• Indifferent to the merger

• More lenient than the US