Microsoft sends senior officials to defend against the Federal Trade Commission (FTC) case that will suspend its proposed deal to acquire Activision Blizzard, where technology giant Satya Nadella’s CEO, Xbox Phil Spencer and many other Xbox executives will be present in court proceedings.
Also, CEO of Activegen Pleasard Bobby Cotec and CFO Armen Zerza are also among the witnesses planned for a five-day inferential hearing scheduled to begin this week.
Other Microsoft and Xbox executives attending the hearing include Microsoft CFO Amy Hood, President of the Xbox creators’ trial, Sarah Bond, CFO of Microsoft Gaming Company Tim Stewart (which previously saw Microsoft in Epic Games v. Apple Pilot) and President of Xbox Gaming Studios, Matt Bouty.
Executives from these companies will defend a potential preliminary injunction against the $68.7 billion Microsoft Games deal to acquire Activogen Blazard.
To discuss competition in the market, Sony’s President of PlayStation, Sidley, Jim Ryan, also with his video link testimony.
The Xbox maker noted that Sony (the biggest opposition to merger) would not appear in person in the courtroom in San Francisco.
In a statement to Verge, Microsoft’s General Manager of Public Affairs, David Keudi, said: “Unlike Sony, our senior executives will personally testify to answer any questions about our business strategy, this deal means more options for players, a fact that becomes clearer as you look at the situation.”
Why Winning an Order Matters to Microsoft
To prevent Microsoft from purchasing Activign Blazard, FTC filed a case seeking an injunction weeks before the deal deadline of July 18.
Microsoft has already admitted in court filings that if FTC succeeds in winning an injunction, the acquisition may end for the company.
This injunction (if granted) will prevent Microsoft from closing its Activagin Blazard transaction until the original FTC lawsuit (followed in 2022) is cleared.
An evidence hearing for this case is scheduled for August 2, and will take place shortly after the Microsoft UK appeal hearing is scheduled to begin.
This will force the company to renegotiate the terms of the acquisition with Activagin Pleasard or move away by paying a $3 billion dismantling fee.
Brad Smith, Vice President and President of Microsoft, said: “We believe that accelerating the legal process in the United States will ultimately provide more choice and competition in the market.”
