FTC Challenges Microsoft Over Activision Layoffs, Citing Broken Promises
The Federal Trade Commission has filed a complaint against Microsoft, accusing the tech giant of contradicting its earlier commitments by laying off nearly 2,000 employees after acquiring Activision Blizzard.
- The FTC filed a complaint in a federal appeals court, arguing Microsoft's recent layoffs of 1,900 employees contradicts its promise to operate Activision Blizzard independently.
- Microsoft defends its decision, stating Activision was already planning significant layoffs and that the merger cannot be solely blamed.
- The layoffs have sparked concerns over Microsoft's adherence to its initial promises regarding the operation of Activision Blizzard post-acquisition.
- The FTC's complaint highlights a discrepancy between Microsoft's initial assurances and its recent actions, raising questions about the merger's antitrust implications.
- Microsoft plans to host a 'business update event' to discuss the future of Xbox, amid ongoing scrutiny from the FTC and the gaming community.