The real antitrust issues in the meta are just the beginning.
Why the FTC's investigation into the company's VR ambitions beyond ruling
Just 13 months ago, the Trump-era Federal Trade Commission tried to overthrow Facebook. The lawsuit was instrumental in canceling purchases in 2012 (Instagram) and 2014 (WhatsApp) and being criticized in its original form. Judge James E. Boasberg ruled that the FTC at the time could not prove that Facebook was independent and could not be linked to the lawsuit.
But Bosberg received the FTC a second time. Many witnesses can support your claim, reopen your case and even judge you. In the months that followed, Trump was ousted and anti-government activist Lina Khan became head of the Federal Trade Commission. Naturally, he accepted the amendment proposed by Bosberg. In a decision announced this week, Bosberg said the situation could change.
Cat Zakrzewski writes in the Washington Post:
Bosberg said the grievance reform was factual enough to "underscore" Facebook's freedom of personal relationships, referring to services that allow people to connect with each other, family and friends online. Bosberg said the "Achilles' heel" of the FTC's first complaint was the lack of evidence to support its claim that "there is no other similar relationship in the United States." However, according to a revised complaint that included data from screen company ComScore, Facebook accounted for more than 70% of daily users using self-chat apps in the United States since 2016.
"In short, the FTC did their homework this time," Bosberg said.
But this time the homework is not special. The FTC collected certain Comscore data, including how long Facebook products were used and daily and monthly usage of other products in that space. This is not surprising, but it should be noted that the Trump FTC did not even fall to this low level.
However, The New York Times said Bosberg's offer to the FTC "was certainly significant in reducing the strength of Big Tech." At least one judge helped the FTC face off. It's no surprise that the FTC hasn't taken the case to court after more than five years of criticism from lawmakers and administrators about Facebook's size and impact.
It would be difficult if the agency didn't hear about the incident and report it.
But, as I wrote at the time of filing, FTC Monopoly's data has shrunk year over year, and the organization is struggling to survive by 2021. According to Cloudflare, although the organizational problem, TikTok was born and became an incredible. In 2021, it became the most visited website in the world. The government claimed that TikTok monopolizes the so-called "personal SNS" and claims that TikTok is different from Facebook. However, if anyone opens Facebook or Instagram, they can see that TikTok has more and more features which would be different from TikTok every day.
Meanwhile, Facebook has become a meta, a “metaverse business”. On whether it can compete with Instagram or WhatsApp, the current story seems to be more demanding (and perhaps silly) more satisfying for the next generation of entrepreneurs who fix everything online, including chat, via the blockchain.
One of the more contentious arguments against tearing down Facebook is that the company will end up running the business and could end sooner than the lawsuit. There is no doubt that Facebook is still the social network leader. However, there are cracks in the equipment.
All of this got Bosberg in trouble, but he wrote that "the police will first face a difficult task to approve the request." Identify the facts presented in the FTC case. Instead, its task is to determine whether the facts, if true, would constitute a reasonable argument in favor of corruption. This time he decided. they do
(Facebook directly rejected the other claim that it prohibits the transfer of information to third-party developers. The code is old news.)
do not mistake yourself. When Facebook got Instagram and WhatsApp, I think the relationship became less competitive. You never know what the benefits will be for consumers if these companies are independent.
But 2014 is a long time ago. And the upcoming lawsuits and the appeal that couldn't continue next year. Even if the government forced the destruction of Instagram and WhatsApp at this time, businesses would return to a world of constant improvement.
The good news for consumers and competitors is that the FTC is continuing. Although the lawsuit ultimately failed, the agency said it would investigate future Meta auctions for further promotional material. As new relationships emerge in the future, insights from Instagram and WhatsApp will almost certainly encourage further research into future purchases in this area. (It's happened before. Last November, the UK blocked the GIF search engine's Meta results.)
What meta wants to buy in VR matters more than when Facebook bought it 10 years ago
What's better, I think, is that the FTC is starting to focus on where it really should be. Meta is working hard to acquire all major studios and talent in VR and AR. As I wrote last June, the meta gets Big Box VR, Unit 2 Games, Beat Games, Sanzaru Games, and Get Ready for Dawn. Then in October we had the biggest in the industry. Los Angeles-based VR In, founder of popular health app Supernatural, reportedly received $400 million.
Meta owns the Oculus App Store, knows the best-selling games, and turns Quest users into modern users. Moreover, it is the sequel of the Onavo company. Onavo is a Facebook application used to provide important notifications about new media competitors. What meta will be in VR will be more important in 2022 than Facebook was 10 years ago.
That's why we're thrilled to learn last month that the FTC has begun its investigation into the acquisition of Meta's With.
Meta's first five VR apps all did well because they were too small to be quickly explored by US regulators. But management delayed the Supernatural deal worth more than $400 million, two people familiar with the matter said. Shortly after Thanksgiving, the FTC announced a full investigation into the receipt. This means that Meta could be shut down for another year if the office is not legally involved in court cases, which would result in an extension.
And that's what really concerns the FTC. Not in the past, but still now, Meta has used its proceeds to sell Quest 2 below par. A wonderful vacation. Software used in the field.
What happened to Instagram and WhatsApp is very important. But what happens on next-gen platforms will be even more important. The unfortunate thing is that the FTC lawsuit is now too late to change the status quo. The good news is that you decide not to make the same mistake again.
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