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I don't think Microsoft gives a shit about FTC's trial in August (which has no power) or the appeal (which has like 1% chance of success) but this pretty much utterly destroys FTC's case now to nothing left, especially with how much they were stupidly focusing on console still rather than cloud which was the "better" angle of attack.

Surely! The FTC drops their case now, they have nothing left and Microsoft can save a little money in lawyer fees demolishing the FTC in court (again) and the FTC can stop wasting their already limited funds, they'd be the most incompetent regulator in the world to continue their appeal now.