U.S. Files Suit Against Facebook, Claiming It Illegally Crushed Competition

From today’s New York Times:

The Federal Trade Commission and more than 40 states accused Facebook on Wednesday of becoming a social media monopoly by buying up its rivals to illegally squash competition, and said the deals that turned the social network into a behemoth should be unwound.

Federal and state regulators, who have been investigating the company for over 18 months, said in separate lawsuits that Facebook’s purchases, especially Instagram for $1 billion in 2012 and WhatsApp for $19 billion two years later, eliminated competition that could have one day challenged the company’s dominance.

Since those deals, Instagram and WhatsApp have skyrocketed in popularity, giving Facebook control over three of the world’s most popular social media and messaging apps. The applications have helped catapult Facebook from a company started in a college dorm room 16 years ago to an internet powerhouse valued at more than $800 billion.

The prosecutors called for Facebook to break off Instagram and WhatsApp and for new restrictions on future deals, in what amounted to some of the most severe penalties regulators can demand.

“For nearly a decade, Facebook has used its dominance and monopoly power to crush smaller rivals and snuff out competition, all at the expense of everyday users,” said Attorney General Letitia James of New York, who led the multistate investigation into the company’s in parallel with the federal agency.

The lawsuits, filed in the U.S. District Court of the District of Columbia, underscore the growing bipartisan and international tsunami against Big Tech. Lawmakers and regulators have zeroed in on the grip that Facebook, Google, Amazon and Apple maintain on commerce, electronics, social networking, search and online advertising, remaking the nation’s economy. President Trump has argued repeatedly that the tech giants have too much power and influence, and allies of President-elect Joseph R. Biden Jr. make similar complaints.

The investigations already led to a lawsuit against Google, brought by the Justice Department two months ago, that accuses the search giant of illegally protecting a monopoly. Prosecutors in that case, though, stopped short of demanding that Google break off any parts of its business. At least one more suit against Google, by both Republican and Democratic officials, is expected by the end of the year. In Europe, regulators are proposing tougher laws against the industry and have issued billions of dollars in penalties for the violation of competition laws.

Read the complete article here.

Mark Zuckerberg Wants To Silence Facebook’s Employees

From today’s Vice News:

Mark Zuckerberg loves free speech, just not when it comes to his own employees.

The Facebook CEO has repeatedly cited free speech as the reason he continued to allow President Donald Trump to openly lie and incite violence on his platform. It is the reason he says he won’t delete coronavirus anti-vaxx content even if it threatens the health of users. It’s why right-wing disinformation continues to dominate the newsfeed. 

But when his own employees speak up about these issues and other social causes, like Black Lives Matter, Zuckerberg’s belief in free speech appears to have reached its limit. 

On Thursday, Zuckerberg told staff that from now on discussions about “divisive” topics would no longer be allowed to be posted just anywhere on the company’s own internal version of Facebook, known as Workplace.

From now on, discussions about political and social issues would only be allowed to take place in specific areas of Workplace, so that all employees don’t have to confront such issues at work if they don’t want to, according to numerous media reports. And, these discussions will be strictly monitored and moderated. 

The exact details of how the new rules will work are still being hammered out. But Zuckerberg was keen to downplay the censorious aspect of the new rules, telling staff that Facebook plans to “explore ways to preserve our culture of openness and debate around” its work, a company spokesman told the Wall Street Journal.

Facebook did not immediately respond to a request for comment about the rule changes and why they were being implemented now.

Read the complete article here.