Antitrust Probe: Facebook acquired Instagram over potential competition threat, emails unveil
The US Federal Trade Commission (FTC) which is conducting an antitrust probe into Facebook’s tech acquisitions has reportedly grilled its CEO Mark Zuckerberg over the emails referring Instagram as a competitive threat to the company.
As stated by the members of the House Judiciary’s antitrust subcommittee, the emails exchanged between Zuckerberg and former Facebook’s CFO David Ebersman in 2012, points towards the company’s anti-competitive practices.
“The businesses are nascent but the networks are established, the brands are already meaningful and if they grow to a large scale they could be very disruptive to us,” the House Judiciary Committee revealed Zuckerberg email on Twitter.
However, Zuckerberg in a counter statement denied the allegation that the acquisition was driven with a motive of sidelining the competition, as per the committee.
FTC, which approved $1 billion acquisition deal between Facebook and Instagram in 2012, is now investigating whether the acquisition is driven out of Facebook’s motive to establish a monopoly in the social media space.