The U.S. Federal Trade Commission (FTC) has lost its appeal against Microsoft’s $68.7 billion acquisition of video game publisher Activision Blizzard, a major blow to the agency’s efforts to curtail the power of Big Tech through antitrust enforcement.

In a ruling issued this week, a panel of judges from the Ninth U.S. Circuit Court of Appeals upheld a lower court’s earlier denial of a preliminary injunction that would have paused the deal.

The court concluded that “given the FTC’s failure to make an adequate showing as to its likelihood of success on the merits as to any of its theories, the district court properly denied the FTC’s motion for a preliminary injunction on that basis,” according to the opinion cited by Reuters.

The ruling affirms the decision by U.S. District Judge Jacqueline Scott Corley in July 2023, who rejected the FTC’s attempt to block the merger on the grounds that the agency did not demonstrate that the acquisition would substantially lessen competition in the gaming market. The next day, the FTC appealed the decision, but Microsoft and Activision closed the deal in October 2023, nearly two years after the merger was announced.

The FTC first sued to block the acquisition in December 2022, arguing that Microsoft’s control of Activision’s game content could give it the ability and incentive to “withhold or degrade Activision’s content in ways that substantially lessen competition – including competition on product quality, price, and innovation.”

At the heart of the FTC’s challenge was concern that Microsoft could make Activision’s blockbuster titles, such as Call of Duty, exclusive to its own platforms or otherwise disadvantage rival consoles and cloud gaming services. But the district court, and now the appeals court, found the FTC’s evidence lacking.

According to the appellate court’s summary, the FTC failed to show that Microsoft would probably foreclose rivals in a way that would harm consumers. The panel did not find adequate support for the theory that Microsoft’s ownership of Activision would reduce competition in the gaming console market, subscription-based gaming services, or emerging cloud gaming platforms.

While the acquisition has now cleared both the U.S. courts and regulatory scrutiny in the UK, after Microsoft made concessions to transfer cloud streaming rights to Ubisoft, the FTC’s administrative case against the merger technically remains ongoing.

“The deal is still the subject of an administrative proceeding that remains pending before the FTC,” the appellate opinion noted.

However, with the deal now closed and two court rulings against its motion to pause it, the FTC’s options appear increasingly limited.

The ruling underscores the uphill battle the FTC faces under Chair Lina Khan’s leadership as it seeks to challenge dominant technology companies through more aggressive antitrust enforcement. The Microsoft–Activision case joins other recent instances in which the agency has struggled to convince courts to halt large tech acquisitions.

Despite this setback, Khan has defended the agency’s posture, arguing that challenges are necessary even when success is uncertain, to ensure regulatory oversight keeps pace with industry consolidation. However, legal observers have pointed out that the FTC’s repeated losses in court may weaken its ability to influence future tech mergers.

The Microsoft–Activision merger remains the largest in the history of the gaming industry. Microsoft has said the acquisition will help it accelerate its cloud gaming strategy and broaden access to Activision titles. The company has pledged to keep Call of Duty available on rival platforms for at least ten years as part of agreements with competitors like Sony and Nintendo.

Microsoft did not issue a fresh comment following the latest ruling. The FTC also did not make a statement on whether it will continue its administrative challenge or accept the court’s judgment.

Uber’s autonomous vehicle ambitions are accelerating. The ride-hailing giant is expanding its partnership with Chinese self-driving technology firm WeRide, with plans to roll out robotaxi services in 15 additional cities outside China and the U.S. over the next five years.

This development follows their initial commercial robotaxi launch in Abu Dhabi five months ago, a venture that also involved local transport operator Tawasul.

As part of the expansion, Uber will inject $100 million into WeRide. The cash is expected to be transferred by the second half of 2025, according to a regulatory filing published Wednesday. The additional cities will include locations in Europe, with Uber integrating WeRide’s services into its app as it does in Abu Dhabi.

The deal is modeled after Uber’s U.S. partnership with Waymo. Under this arrangement, Uber handles routing and customer access via its platform, while the autonomous vehicle partner, Waymo in the U.S. and WeRide in this case, provides the AV technology. In Abu Dhabi, Uber and WeRide jointly manage the service through local fleet operator Tawasul and are also planning to expand into Dubai.

WeRide, which went public on the Nasdaq in October 2024, says the new funding will deepen its global rollout and support further development of its AV tech.

“The additional cities will focus on markets where Uber already operates and where AV regulations are favorable,” the company said in a statement.

This move is the latest in a string of autonomous partnerships Uber has pursued globally. In the past two months, Uber has announced separate deals with U.S.-based May Mobility and China’s Momenta. Over the past two years, Uber has locked in more than 15 collaborations with autonomous tech firms across ride-hailing, delivery, and freight logistics.

Uber’s most high-profile U.S. partnership remains with Waymo. The two currently offer robotaxi rides in Austin and are preparing to launch in Atlanta.

Internal Shifts Amid External Expansion

This expansion comes at a moment of internal recalibration at Uber. CEO Dara Khosrowshahi is pressing ahead with a series of workplace changes that some employees are resisting—and he’s openly fine with that.

In an interview with CNBC on Wednesday, Khosrowshahi made clear that while the company values its workforce, those unwilling to align with its direction are free to move on.

“The good news is the economy is still really strong. The job market is strong,” he said. “People who work at Uber, they have lots of opportunities everywhere.”

The CEO emphasized that Uber isn’t trying to drive people out, but that change is inevitable.

“We want them, obviously, to take the opportunity with us, to take the opportunity to learn,” he said.

The company’s latest policies require corporate staff to be in the office at least three days a week, specifically Tuesday through Thursday. Mondays and Fridays may be worked remotely. Remote workers have also been asked to return to physical offices. Additionally, the tenure requirement for a paid sabbatical has been extended, though Uber has not disclosed how many years.

“We want more people in the office,” Khosrowshahi said, framing the shift as an effort to support collaboration and mentorship. “It’s the right mix of giving your employees flexibility but also getting them to the office for those all-important teamwork tasks.”

An Uber spokesperson clarified that the policy changes are not tied to any planned layoffs and are not meant to spur attrition. Starting in June, the new hybrid work structure will go into effect.

Uber’s stance mirrors a broader trend in Big Tech where executives are reasserting workplace norms and cutting back on perks introduced during the pandemic. Amazon recently adjusted its compensation structure to reward top performers while cutting back on what underperformers earn. Meta’s Chief Technology Officer Andrew Bosworth told employees they could either “disagree and commit” or leave after the company rolled back diversity, equity, and inclusion initiatives and began trimming low-performing staff.

At Microsoft and other tech giants, job cuts have increasingly been tied to individual performance reviews.

Uber’s robotaxi push and internal restructuring highlight a balancing act: while the company invests heavily in next-generation transportation, it’s also reshaping its workforce expectations. Khosrowshahi is betting that employees who remain will be aligned with Uber’s long-term goals, both technologically and culturally.