FTC Calls Xbox Game Pass Price Hike 'Exactly The Sort Of Consumer Harm' It Tried To Stop

Xbox Game Pass News

FTC Calls Xbox Game Pass Price Hike 'Exactly The Sort Of Consumer Harm' It Tried To Stop
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The agency filed a letter in its ongoing appeal of the Activision Blizzard merger

On Wednesday, the Federal Trade Commission pointed to Microsoft ’s recent pricing overhaul of Xbox Game Pass as evidence of the harm its merger with Activision Blizzard has had on consumers. The agency filed a new letter in its ongoing appeal of last year’s deal, calling the changes “exactly the sort of consumer harm from the merger that the FTC alleged.

“Microsoft’s price increases and product degradation—combined with Microsoft’s reduced investments in output and product quality via employee layoffs, see FTC’s February 7, 2024, Letter—are the hallmarks of a firm exercising market power post-merger,” the FTC writes. It also points to a statement Microsoft made in its filings during the trial last summer suggesting Game Pass wouldn’t get more expensive just because Activision Blizzard’s games were added to it.

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