Facebook pulled in court for anti-competitive behaviour; lawsuit demands Zuckerberg quit

Social networking major, Facebook is sued by competitors for anti-competitive behaviour. The class-action status suite argues that Facebook identified and categorised potential market threats and later extinguished those threats.

Facebook is accused of moving aggressively to entirely shut out the direct competitors. This is not the first time Facebook is asked tough questions. The company has been quested earlier too about its market power and how it provides data to developers on the platform. Even governments around the world have suggested that Facebook has gained unnecessary dominance by acquiring competitors like Instagram.

In the past, Facebook used to provide data to developers on its platform, which later became an issue when the Cambridge Analytica scandal came into the light. The lawsuit filed by four developers reads, “The net effect of Facebook’s anti-competitive scheme is one of the largest unlawful monopolies ever seen in the United States—one protected by a far-reaching and effectively impenetrable barrier to entry arising from feedback loops and powerful network effects.”

In the lawsuit, companies have described Facebook as one of the largest unlawful monopolies ever seen in the United States. The lawsuit is filed with an intention to halt the most braze, a willful anti-competitive scheme in a generation. Large internet platforms are facing the highest level of scrutiny for their business practices over the last few years.

In an official statement, Facebook said, “We operate in a competitive environment where people and advertisers have many choices. In the current environment, where plaintiffs’ attorneys see financial opportunities, claims like this aren’t unexpected but they are without merit.”

The lawsuit compels Facebook CEO Mark Zuckerberg to divest necessary efforts to get Facebook to cease its anticompetitive behaviour. It further adds that continued control of Zuckerberg is will keep creating irreparable harm.