The watchdog told a court that Microsoft's job cuts broke its promises to get the deal approved. From a report:
In a letter to the court clerk, the FTC slammed Microsoft for axing eight per cent of its gaming staff. Most of the workers who lost their jobs were from Activision Blizzard.
The antitrust regulator said the layoffs were "at odds with Microsoft's claim to this Court that the two firms will run separately after the merger."
Microsoft Gaming chief Phil Spencer announced the sackings in January in a memo. "As we move forward in 2024, the bosses of Microsoft Gaming and Activision Blizzard are set on having a plan and a budget that will back our growing business,"
"Together, we've picked our goals, found where we overlap, and ensured we're all on the same page for growth."
The letter comes two weeks after Sen. Elizabeth Warren told the FTC to keep up its fight against the merger.