Well the main reason to block the purchase would be to prevent a monopoly so their point is that they’re far behind so the purchase will put them more on par. I don’t know if I buy that logic but that’s what they’re trying to say.

On the PS5? There are tons, including first party content like Horizon: Forbidden West and God of War Ragnarock. Most major titles that have released in the last 3 years are available on the PS5

TL;DR - Microsoft is fighting for their purchase of Activision-Blizzard to go through. Their latest argument is that they’re in third in the console wars (behind the PS5 and the Switch) and Sony will likely make more money from the PS5 Slim which they claim is releasing later this year at $399.