FTC Challenges Microsoft's Gaming Layoffs in Antitrust Trial

The FTC has filed a complaint against Microsoft, alleging that the company's decision to cut 1,900 jobs in its gaming division, including at Activision Blizzard, contradicts its previous statements about operating independently post-merger. The FTC argues that this move undermines its ability to order effective relief if the pending administrative proceeding finds the acquisition violated antitrust laws. Multiple Activision Blizzard studios, including Sledgehammer Games and Toys 4 Bob, have been impacted by the layoffs, with the cancellation of an untitled survival game and over 100 reported job cuts at the World of Warcraft studio.