WASHINGTON – A federal judge on Monday dismissed antitrust lawsuits filed against Facebook by the Federal Trade Commission (FTC) and a coalition of U.S. attorneys general, dealt a major blow to regulators’ efforts to curb tech giants.
Judge James Boasberg ruled Monday that the lawsuits were “legally insufficient” and did not provide enough evidence to prove that Facebook is a monopoly. The decision dismisses the complaint, but not the case itself, which means that the FTC may file another complaint.
“These allegations – which do not even provide a current figure or percentage of Facebook shares at any point in the last ten years – ultimately fail to prove that Facebook controls the market,” he said.
The U.S. government and 48 states and counties sued Facebook in December 2020, accusing the tech giant of abusing its market power on social media to crack down on smaller competitors and seeking legal remedies that could include buying its services. Instagram and WhatsApp messaging.
The FTC claims Facebook was involved in a “systematic strategy” to eliminate its competition, including the acquisition of smaller but growing rivals, such as Instagram in 2012 and WhatsApp in 2014. Attorney General of New York, Letitia James said when she filed the lawsuit that Facebook “used the power of its monopoly to crush smaller rivals and destroy competition, all at the expense of everyday users.”
Judge Boasberg also dismissed the lawsuit filed by U.S. Attorneys General.