Facebook is seeking dismissal of antitrust lawsuits

A new article on Forbes reports that Facebook had just asked a judge to dismiss two landmark antitrust lawsuits against the company. The move is expected to being a lengthy and complex legal battle that could result in the social network being broken up.



Facebook faces two US District Court lawsuits. One is from the Federal Trade Commission, and one is from forty-eight state attorneys general. They allege that the company squashed competition through anticompetitive acquisitions.

Facebook has already argued that the FTC doesn't have the authority to challenge acquisitions already approved by the agency. The company denies the acquisitions ever created a monopoly, saying that the government "cannot establish that Facebook has increased prices or restricted output" without losing market share.

Facebook also argued against the state lawsuit, saying it was grounded in "public policy concerns" and not antitrust laws. The company pointed to the states' argument that Facebook froze out competing services that could have offered better privacy protections.

In the case of both the current lawsuits, possible remedial action could end up forcing the company to sell off Instagram or WhatsApp.

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The next few months could prove to be crucial for the future of Facebook and other social media companies. Both the FTC and state lawsuits represent the most significant regulatory action ever faced by Facebook. Back in October 2020, House Democrats released a report concluding that Facebook and Google wield "monopoly power." Congress has shown an increased desire to crack down on Big Tech, with the Senate now holding an antitrust hearing organized by Sen. Amy Klobuchar (D-Mn.). Last month, the senator introduced a sweeping bill that aims to make it far more difficult for large companies to make acquisitions.