The FTC and 48 AGs want to break up Facebook
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Recode
4.6 • 1.3K Ratings
🗓️ 11 December 2020
⏱️ 7 minutes
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| 0:00.0 | The Federal Trade Commission and a group of 48 Attorney Generals are suing Facebook. |
| 0:09.0 | In lawsuits that they filed on Wednesday, they allege that the social network has violated antitrust laws and is a monopoly. |
| 0:16.5 | Their remedy? |
| 0:17.5 | Break the company up. |
| 0:18.5 | Rebecca Hylewile is here to talk about it. |
| 0:20.5 | Hey Rebecca. |
| 0:21.5 | Hey. So not a brand new idea, right? Obviously there have been a lot of |
| 0:26.0 | politicians, most notably Elizabeth Warren, who called for breaking up Facebook. |
| 0:30.2 | Mark Zuckerberg has been stressing about this probably since around then. |
| 0:35.0 | So like what's the big deal about these lawsuits particular? I mean this isn't just |
| 0:39.6 | politicians yapping. Tell me what these lawsuits are trying to do. |
| 0:43.6 | These lawsuits are important because they're asking a court to take the action of essentially |
| 0:49.4 | forcing Facebook to sell both Instagram and what's up and if you know the court system decides that's |
| 0:56.0 | what needs to be done that's what needs to be done we don't need Republican and |
| 1:00.1 | Democratic lawmakers to agree on it we don't't need a president. It would go through the courts. So it's |
| 1:05.7 | potentially a really, really powerful tool if the court comes up with that conclusion. |
| 1:12.0 | I think one of the real problems for Facebook here is that there are all these communications that both lawsuits talk about that seem to break a pretty damaging picture for Facebook in terms of how they saw Instagram and |
| 1:25.3 | what's up. You know, so one email that comes up and one of them is Zuckerberg |
| 1:29.0 | writing after the Instagram acquisition. I remember your internal post about how |
| 1:33.8 | Instagram was our threat and not Google Plus. You were basically right. One thing |
| 1:37.9 | about startups though is that you can often acquire them. So you know this is not a great picture for Facebook. So the thing is right is that |
| 1:46.8 | the FTC this agency that is co leaving these lawsuits against Facebook they approved these acquisitions or at least didn't block them when both of them happened. |
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