The US authorities file cases calling for breakup of Facebook, WhatsApp, Insta
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Facebook is one of the biggest and most popular social media companies in the world. It also owns WhatsApp and Instagram.
The US Federal Trade Commission (FTC) and 47 states have filed lawsuits (cases) to break up Facebook. It is requesting the court to force Facebook to sell off its other businesses such as Instagram and WhatsApp.
The FTC is an independent agency of the US government. Its aim is to protect consumers from unfair and illegal practices in the marketplace.
Why have the cases been filed?
The cases focus on Facebook’s 2012 buy out of Instagram, its 2014 purchase of WhatsApp and its rules while dealing with outside software developers.
Officials say that Facebook uses its power and influence to illegally force rivals to sell their companies or products. This hurts the companies as well as users. If this continues, officials are worried that Facebook will only get more powerful and stop other companies from progressing in the social media space.
However, Facebook has said that all the purchases they have made were approved by the FTC before. Additionally, the companies they bought before were not so big then, even if they are now. So, Facebook should not be punished for their success.
These kinds of cases take a long time to resolve. So, for now, things will likely remain the same.
In October, the US Department of Justice also filed a case against Google. It said that Google is illegally maintaining a stronghold on internet searches and online advertising.
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