Search

FTC Lawsuit Against Facebook Could Force Company to Sell Instagram, WhatsApp - IGN - IGN

The Federal Trade Commission and 46 states are suing Facebook, claiming the social media company is maintaining a social networking monopoly. The FTC is recommending Facebook to divest its assets, including Instagram and WhatsApp.In a press release, the FTC claims Facebook is a social network monopoly “through a years-long course of anticompetitive conduct.” The investigation by the FTC, 46 states, and Guam, claim moves like the 2012 acquisition of Instagram, and the 2014 acquisition of WhatsApp created anti-competitive conditions.

The FTC is looking to receive a permanent injunction in federal court that “could, among other things: require divestiture of assets, including Instagram and WhatsApp; prohibit Facebook from imposing anticompetitive conditions on software developers; and require Facebook to seek prior notice and approval for future mergers and acquisitions.”

In the same statement, FTC’s bureau of competition director Ian Conner says, “Facebook’s actions to entrench and maintain its monopoly deny consumers the benefits of competition. Our aim is to roll back Facebook’s anticompetitive conduct and restore competition so that innovation and free competition can thrive.”

The FTC began investigating Facebook in 2018 over consumer privacy concerns, but the social media company has been in the spotlight of the government for years now. Concerns over data privacy, its effects on the U.S. and other elections worldwide, and information safety have all put eyes on Facebook.

In response, Facebook’s vice president and general counsel Jennifer Newstead calls the suit “revisionist history.”

“Antitrust laws exist to protect consumers and promote innovation, not to punish successful businesses. Instagram and WhatsApp became the incredible products they are today because Facebook invested billions of dollars, and years of innovation and expertise, to develop new features and better experiences for the millions who enjoy those products,” says Newstead.

Matt T.M. Kim is a reporter for IGN.

Let's block ads! (Why?)

Article From & Read More ( FTC Lawsuit Against Facebook Could Force Company to Sell Instagram, WhatsApp - IGN - IGN )
https://ift.tt/2IyLCiF
Business

Bagikan Berita Ini

0 Response to "FTC Lawsuit Against Facebook Could Force Company to Sell Instagram, WhatsApp - IGN - IGN"

Post a Comment

Powered by Blogger.