In a stunning turn of events, a federal judge in San Francisco, Judge Jacqueline Scott Corley, has dealt a significant blow to the Federal Trade Commission (FTC) by rejecting their plea to halt Microsoft’s monumental $69 billion purchase of video game publisher Activision Blizzard.

Judge Corley’s decision holds the potential for Microsoft to acquire the renowned developer responsible for chart-topping games such as “Call of Duty” and “World of Warcraft.”

In her written verdict on Tuesday, Corley firmly stated, “FTC has failed to demonstrate a likelihood of success in their claim that this particular vertical merger, within the specific industry, would substantially diminish competition.

On the contrary, the evidence presented supports greater consumer access to the highly sought-after Activision content, including Call of Duty.” Her ruling left no room for doubt.

Undoubtedly, this ruling comes as a severe setback to the Biden administration’s relentless efforts to restrain the consolidation endeavors of Big Tech companies. The dream of curbing their growing influence has faced a formidable challenge.

Phil Spencer, the head of Xbox, wasted no time in responding to the court’s decision. He dismissed the FTC’s claims of “console switching, multi-game subscription services, and cloud” as detached from the realities of the gaming market.

According to Spencer, this merger will only serve to expand user access to Microsoft’s gaming offerings across the globe.

Although the FTC has until Friday night to weigh the possibility of appealing the court’s decision, attention has shifted to Microsoft’s strategic moves.

Tom Warren, a well-regarded journalist at The Verge, speculated on Twitter that the tech giant might explore alterations to the deal to appease the concerns of U.K. regulators. Warren expressed optimism, believing that Microsoft’s path forward would be smooth.

While Wall Street initially anticipated the acquisition to face fierce opposition from U.K. regulators, at least one analyst forecasted in May that the deal would ultimately receive approval, given the green light from China and Europe.

Sarah Hindlian-Bowler, an analyst at Macquarie, stated, “China’s unconditional endorsement reinforces the growing consensus among major global economies that this merger poses no threat to consumers and should proceed.” Her words, published in Barron’s, underscore the prevailing sentiment.

Securing the Activision deal has been a laborious process for Microsoft, spanning over 18 months of rigorous engagement with policymakers.

Throughout this arduous journey, critics expressed concerns that the tech giant would stifle competition by excluding rivals from certain games, thereby securing an unfair advantage in the market.

Unsurprisingly, an FTC spokesperson expressed disappointment in the court’s decision and promised to reveal the agency’s forthcoming steps in the days ahead.

However, the ruling has prompted U.K. regulators, who had previously rejected the merger, to temporarily halt their litigation efforts against Microsoft.

The Competition and Markets Authority (CMA) of the U.K. released a statement indicating their willingness to consider any proposals put forth by Microsoft to restructure the transition.

The CMA emphasized that their primary concern was to address potential issues and asserted that “pausing the litigation in the U.K. would serve the public interest.”

Responding to the ruling, Brad Smith, Microsoft’s vice chair and president, conveyed the company’s commitment to collaboratively and creatively address the concerns raised by regulators.

With a positive outlook, Microsoft stands ready to engage in constructive dialogue to navigate the regulatory landscape.

In conclusion, Microsoft emerges victorious as Judge Corley dismisses the FTC’s attempt to impede their acquisition of Activision Blizzard.

This resounding win not only paves the way for Microsoft’s expansion in the gaming industry but also serves as a testament to the company’s ability to overcome regulatory obstacles.

As the saga unfolds, all eyes are on Microsoft as they chart their course towards a future filled with limitless possibilities.