On Tuesday, Harvard economist Robin Lee argued for the government against Microsoft’s (MSFT.O) $69 billion acquisition of game company Activision Blizzard (ATVI.O).
The U.S. Federal Trade Commission has asked a federal judge to halt the transaction until the agency’s in-house judge decides if it may proceed. However, the losing party in federal court usually concedes, and the in-house process is halted.
A Microsoft attorney questioned Lee about his analyses of prospective market share increases for the Redmond, Washington-based company’s Xbox business, notably the impact of Activision’s “Call of Duty” videogame.
Lee noted that his analysis did not account for “Call of Duty” ‘s availability on Nintendo’s (7974.T) Switch. If the deal goes through, Microsoft will give Switch the game for ten years.
Microsoft attorney Beth Wilkinson pressured Lee to expose his economic modeling flaws in his offer study. Wilkinson shouted, “Professor Lee, can you answer my question?” about a report detail.
Wilkinson once drew his market share predictions on a whiteboard for the court, appearing dissatisfied with Lee’s answers.
On Tuesday, San Francisco federal judge Jacqueline Scott Corley revealed little about the case. The FTC says Microsoft would get exclusive access to Activision games, shutting Nintendo and Sony Group out.
Microsoft believes licensing the games to all would benefit it financially. The FTC and Britain’s Competition and Markets Authority have challenged the acquisition.