Categories: Technology

Activision Blizzard allegedly illegally capped esports revenues

The US Department of Justice’s competition watchdog is suing industry giant Activision Blizzard for unlawfully restricting player income in two of its esports leagues.

The ministry on Monday published a lawsuit and a settlement proposal with concessions from the company, which is still subject to court approval. The Justice Department targeted two esports leagues operated by Activision Blizzard, namely for the games “Overwatch” and “Call of Duty”.

Due to the de facto limitation of the remuneration per team, competition was distorted. In the agreement, Activision Blizzard agreed to end the practice. In a statement to Bloomberg’s financial service, the group stressed that the revenue deals suspended in 2021 under pressure from competition authorities were legal in its view. (sda/dpa)

Source: Watson

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