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FTC Ends Legal Challenge to Microsoft Corporation (MSFT)’s Activision Acquisition

On May 22, 2025, the U.S. Federal Trade Commission (FTC) withdrew its administrative case opposing Microsoft Corporation (NASDAQ:MSFT)’s $69 billion acquisition of Activision Blizzard. The decision arrived nearly two years after the transaction was finalized, turning the acquisition into the largest in the video game industry’s history.

A development team working together to create the next version of Windows.

Microsoft Corporation (NASDAQ:MSFT), the global technology giant, acquired gaming powerhouse Activision Blizzard for $68.7 billion in an all-cash deal. The transaction was completed on October 13, 2023, and with the acquisition, the company aimed to elevate its presence in the gaming industry.

However, the FTC has been trying to block the acquisition by filing a case against Microsoft Corporation (NASDAQ:MSFT) in December 2022, claiming that the takeover would harm competition in gaming by giving the company unfair control over popular content like Call of Duty.

Following a failed appeal on May 7, 2025, that aimed at reversing a federal court’s refusal to halt the merger, the FTC had opted not to pursue further litigation on May 22, 2025, citing public interest concerns.

Microsoft President Brad Smith lauded the withdrawal, saying, “A victory for players across the country and for common sense in Washington, D.C.”

According to Reuters, this move by the agency may perhaps be in line with the FTC Chairman Andrew Ferguson’s shift in enforcement strategy since other high-profile cases, including the one against PepsiCo, were similarly shelved this week.

Earlier on the same day, pointing to insights gathered from the annual Microsoft 360™ event, which featured panels with Microsoft executives and partners, Evercore ISI elevated the price target from $500 to $515 while maintaining an Outperform rating. With these new developments favouring the company, there arises curiosity regarding Microsoft Corporation (NASDAQ:MSFT)’s growth prospects.

While we acknowledge the potential of MSFT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than MSFT and that has 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 10 Unstoppable Dividend Stocks to Buy Now and 11 Oversold Global Stocks to Buy According to Hedge Funds

Disclosure: None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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