Antitrust enforcers from some of the US states are preparing to file a lawsuit against Facebook on Wednesday, alleging anticompetitive conduct in the social giant’s acquisition of Instagram and WhatsApp, AFP source said. New York Attorney General Letitia James, her counterpart from other state antitrust enforcement agencies are expected to make an announcement later in the day.
In the latest move of ramping up antitrust pressure against Big Tech firms, the Federal Trade Commission would be filing the case on behalf of the federal government, reported The Washington Post reported.
Some 40 states are joining the effort against Facebook, seeking to squelch competition by acquiring the messaging applications — Instagram in 2012 and WhatsApp in 2014.
The New York agency declined to comment.
The FTC announced earlier this year it would review acquisitions made by five Big Tech firms over the past decade, opening the door to a wave of potential antitrust investigations.
The consumer protection agency said it would review deals made by Amazon, Apple, Facebook, Microsoft and Google parent Alphabet since 2010 amid growing complaints about tech platforms that have dominated key economic sectors.
The US Justice Department, which shares antitrust enforcement with the FTC, in October sued Google parent Alphabet, accusing the Silicon Valley giant of maintaining an “illegal monopoly” in online search and advertising and opening the door to a potential breakup. Eleven US states joined that case.
Scrutiny has been increasing for the large tech firms which have extended their dominance in recent years, including during the global pandemic as more people turn to internet platforms for goods and services.