US states announce antitrust probe of Facebook

A coalition of US states announced Friday an antitrust investigation of Facebook to determine if the social media giant has hindered competition and put users at risk.

New York state Attorney General Letitia James released a statement announcing the action on behalf of seven other states and the District of Columbia.

The move marks the first official US antitrust action against one of the so-called Big Tech companies -- although a landmark case had targeted Microsoft back in the 1990s.

"Even the largest social media platform in the world must follow the law and respect consumers," James said.

"We will use every investigative tool at our disposal to determine whether Facebook's actions may have endangered consumer data, reduced the quality of consumers' choices, or increased the price of advertising."
"Facebook in particular has received attention for its acquisitions of WhatsApp and Instagram -- is that too much power in one company? Should those acquisitions be unwound? The states are likely to focus on issues like these."
Asked about the report, Google spokesman Jose Castaneda said: "Google's services help people every day, create more choice for consumers, and support thousands of jobs and small businesses across the country. We continue to work constructively with regulators, including attorneys general, in answering questions about our business and the dynamic technology sector."