In a letter dated Wednesday to Microsoft's US lawyers, the
department said it had communicated to Microsoft's and Activision's lawyers in
Canada that the deal would likely lead to less competition in "gaming
consoles and multigame subscription services (as well as cloud gaming)."
On Thursday, the letter was put on the docket of a US
federal court proceeding in which the US Federal Trade Commission is asking a
judge to temporarily stop the proposed transaction so that an FTC judge will
have time to assess it. Closing arguments in the proceeding are set for later
on Thursday.
Microsoft has pressed for a decision in the court fight
before the July 18 termination date for the deal. A ruling could come as early
as next week.
In a statement, Microsoft said it was working with antitrust
enforcers to address concerns.
"We received notice from the Canada Competition Bureau
that it would continue to monitor our acquisition of Activision Blizzard after
the formal waiting period preventing the deal to close expired," a
Microsoft spokesperson said.
Microsoft's bid to acquire the Call of Duty videogame maker
also faces opposition from British competition authorities. Microsoft's appeal
to Britain's Competition Appeal Tribunal is scheduled for July 28. © Reuters
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