Meta Withheld Information on Instagram, WhatsApp Deals: FTC

https://www.bloomberg.com/news/articles/2024-06-05/meta-withheld-information-on-instagram-whatsapp-deals-ftc-says

by toomuchtodo • 2 years ago

61 8 2 years ago

roflchoppa• 2 years ago

In cases where companies are broken up due to “anti-trust”, what really happens from a business perspective? Does FB/Zuck still retain ownership? Or are they forced to sell?

JumpCrisscross2• 2 years ago

what really happens from a business perspective? Does FB/Zuck still retain ownership? Or are they forced to sell?

Taking Standard Oil as an example, the entity Zuckerberg retained control over would have to sell its stakes in the others, i.e. Zuckerberg wouldn't be allowe to own or control the others [1].

[1] https://billofrightsinstitute.org/essays/ida-m-tarbells-crus...

Calvin02• 2 years ago

This is a pretty weak case.

If the FTC considered this material information, they should have asked to review it back then. If they requested it but Meta didn’t provide it, then it is an issue.

However, if the FTC didn’t consider it important at the time of the merger, it can’t go back and argue that something is valuable because the acquisitions turned out to be more valuable.

For example, if India and Brazil decide that WhatsApp needs to be able to see messages and break e2e, WA instantly becomes less valuable.

Or Snapchat could have eaten IG’s lunch.

Would FTC still have made the same argument?

hehdhdjehehegwv• 2 years ago

Khan came in with big plans and has consistently shit the bed on winning actual cases or making meaningful change.

Utterly wasted opportunity when there is huge public support for interventions to break up big tech power.

JumpCrisscross2• 2 years ago

they should have asked to review it back then

That's Facebook's argument: "Meta is seeking to have the case thrown out before a trial, arguing that it has invested billions in the apps and that the FTC shouldn’t be able to renege on its prior approval of the mergers."

If they requested it but Meta didn’t provide it, then it is an issue

Yes. It seems premature to conclude from public sources who has the stronger hand.

diggan• 2 years ago

What about if the FTC discovered information that they had no idea about existing at the point of merger, would it be OK for them to go back and reconsider the merge if that's the case, with this new information?

That's how the article reads to me at least, that the FTC wasn't aware of the documents/information even existing, so obviously they couldn't ask for it at the time (an unknown-unknown, rather than known-unknown).

Overall, I feel like the article itself is withholding information about exactly what information is now known by the FTC, so hard to judge anything here.

oglop• 2 years ago

Found the Facebook employee or stock holder.

Literally the first paragraph says they claim Facebook withheld the information which was requested.

Meta Withheld Information on Instagram, WhatsApp Deals: FTC

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