“Even a new entrant, with a better product, cannot succeed in the face of the network effects enjoyed by the dominant social network,” said the latter.
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She returns to the charge. The US competition authority (FTC) filed a new complaint against Facebook on Thursday, August 19, accusing the social media giant of abuse of a dominant position.
The initial anti-competitive practices complaint, filed in December, threatened the California group with having to part ways with Instagram and WhatsApp, but Washington federal judge James Boeasberg ruled in June that it was missing. “of concrete on the real power of Facebook”.
The revised complaint gives more details on the means used by the firm to oust competition, especially in the early 2010s, when the mobile internet market emerged. “After failing to compete against new innovators, Facebook illegally bought them out or buried them when their popularity became an existential threat.”, according to Holly Vedova, Acting Director of the Competition Division of the FTC, with reference to the Instagram application and WhatsApp messaging.
Moreover, according to the new complaint, Facebook’s monopoly is “protected by important barriers” when entering its market, so that “even a new entrant, with a better product, cannot succeed in the face of the network effects enjoyed by the dominant social network”.