The Speaker
Thursday, 18 July 2024 – 17:21

Facebook faces major lawsuits in US with calls to break up the social media giant

Social media giant Facebook is facing two separate lawsuits in the United States which are seeking the break up of the conglomerate and are accusing the company of abusing its power.

The US Federal Trade Commission and a coalition of more than 40 state prosecutors are suing the company, claiming that it has acted illegally to buy up rivals and stifle competition in the market. 

In a series of tweets, New York Attorney General Letitia James said:

“We are taking action to stand up for the millions of consumers and many small businesses that have been harmed by Facebook’s illegal behavior.”

“Facebook has used its monopoly power to crush smaller rivals and snuff out competition, all at the expense of everyday users.” 

“Instead of improving its own product, Facebook took advantage of consumers and made billions of dollars converting their personal data into a cash cow.”

The lawsuits being filed against Facebook mainly focus on their 2012 acquisition of Instagram and 2014 purchase of Whatsapp. Both of the acquisitions were previously looked at by the FTC and were approved, but officials are now asking the court to consider breaking up the company.

Facebook has said in a statement, “We look forward to our day in court, when we’re confident the evidence will show that Facebook, Instagram and WhatsApp belong together, competing on the merits with great products.”

The company has also claimed that the lawsuits could harm consumers and innovation.

The lawsuits come after the US Justice Department sued Google back in October, claiming that the company had abused its market power. 

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