Indies and unions rally behind Microsoft's Activision Blizzard deal

14.09.2023 - 15:55 / gamedeveloper.com / Tom Warren / Stephen Totilo

Nine amicus briefs have been filed in support of Microsoft's $68.7 billion merger with Activision Blizzard by a group including indie developers, venture capitalists, the CWA labor union, and former regulatory advisors.

As highlighted by The Verge senior editor Tom Warren on X, the briefs were submitted in response to the Federal Trade Commission's (FTC) attempts to appeal the loss of its high-profile court case against Microsoft and block the acquisition in the United States.

Notably, the briefs include pro-merger statements from five indie publishers and studios (collectively referred to as 'amici' in the filing) including Curve Digital, Finji, Studio Wildcard, iam8bit, and Strange Scaffold that suggest the deal will have a positive impact on the development community.

"Amici are five independent companies, of all shapes and sizes, that publish or develop video games for a range of game-streaming platforms, including Microsoft's Xbox Game Pass service on Xbox. Amici thus have first-hand experience with Microsoft's Game Pass subscription and its effects on the market for independently published and developed games," reads the brief. 

"And while the FTC argues that the merger will stifle competition, amici have had precisely the opposite experience with Microsoft's Game Pass service."

In contrast to the concerns of the FTC, those studios argue subscription services like Game Pass are "crucial" to the success of indie games, increasing the odds that players will discover lesser-known titles and lowering the cost for entry when they do.

"By lowering the barrier to trying new games, subscription services like Game Pass increase the odds that indie games can break through into a viable revenue-generating level of players and viewership," continues the brief.

Those studios state that visibility for an indie game on one platform—that developers might enjoy after being featured on Game Pass—frequently translates to greater visibility and awareness on other platforms, increasing player counts and by extension revenue in the process.

"In these ways, Game Pass is actually an important mechanism for increasing competition in gaming, because it promotes a market where indie games [sic] can achieve and increase financial viability for their current and future games, across all platforms where they appear," states the brief.

Axios reporter Stephen Totilo noted the same brief states that Human Fall Flat (published by Curve Digital) attracted 14.2 million users through Game Pass alone, while Escape Academy (published by iam8bit) gained over 1.5 million users through the subscription service.

In another Amicus brief filed jointly by labor union the Communications Workers of America (CWA) and the American Federation of Labor and