Activision Blizzard, an American entertainment industry powerhouse, has settled an antitrust lawsuit filed by a group of professional Overwatch and Call of Duty players. The suit alleged that Activision Blizzard imposed salary caps on professional Overwatch and Call of Duty players, thus preventing them from being able to negotiate freely for their services.
The lawsuit, originally filed in January of 2020, alleged that Activision Blizzard had engaged in anti-competitive and monopolistic practices, such as imposing an artificial cap on salaries, that were preventing the players from making a fair living from their talents. The players, who are contracted to the company in order to participate in the professional esports tournaments for their respective games, were also denied their right to freely negotiate for their services.
The settlement reached was for an undisclosed amount and includes some additional provisions. The agreements included stipulations that Activision Blizzard will now allow professional players to engage in competitive bidding processes, provide additional compensation to players who were affected by the salary cap, and agree to not place any salary cap on professional players for the next two Overwatch League seasons.
The allegations made were incredibly serious and Activision Blizzard surely will not be wanting to end up in court again. As such, a lot of eyes will continue to watch their moves to make sure they comply with antitrust laws. Furthermore, this settlement should serve to inform other video game companies that the practice of price-fixing is strictly prohibited and will not be tolerated.
In the wake of this settlement, professional gamers should continue to remain vigilant in protecting their rights and making sure they are being compensated accordingly for their involvement in professional esports tournaments. This also should serve as a reminder that Activision Blizzard is not above the law and will be held accountable for any anticompetitive practices which impede upon the rights of professional gamers.
