Facebook and Google are set to face both state and federal antitrust lawsuits in the next few weeks that could deepen the two tech giants’ already tenuous legal situations.
As many as four cases from state and federal authorities are being prepared to target Facebook and Google, according to a Wall Street Journal report. The cases will investigate whether the companies have abused their power in the internet economy, with Google dominating search and advertising while Facebook dominates social media.
Google and Facebook have claimed that they work in a competitive environment, offering free services to users that are beneficial to consumers.
But the two companies have come under increased scrutiny from both sides of the political aisle. Democrats have accused Facebook of being a platform for fake or misleading information, while Republicans have said the social media giant censors conservative views.
Former Federal Trade Commission Chairman William Kovacic said the growing number of cases against U.S. tech giants and the bipartisan nature of their scrutiny should give antitrust authorities the confidence they need to carry out the investigations.
“The supportive chorus of elected officials is giving assurance to DOJ and the FTC that they have the political support they need to blunt [the companies’] efforts … to pressure the agencies to back off or water down their cases,” Kovacic told the Wall Street Journal.
The FTC is close to gaining approval for filing an antitrust suit against Facebook in the next few days, which would be the first antitrust action taken against the company. The suit focuses on Facebook’s content moderation policies, which have faced increased scrutiny despite Facebook’s efforts to update its policies since the 2016 election.
Meanwhile, a coalition of states, led by Texas Attorney General Ken Paxton, is preparing to file an antitrust suit against Google over its online-advertising business. Another coalition of states, led by Colorado, is preparing to file an antitrust suit against Google over its search business.
“This is a historic time for both federal and state antitrust authorities, as we work to protect competition and innovation in our technology markets,” a group of attorneys general including Colorado’s Phil Weiser said in a recent statement. “We plan to conclude parts of our investigation of Google in the coming weeks. If we decide to file a complaint, we would file a motion to consolidate our case with the DOJ’s.”
Google contends that people “use Google because they choose to, not because they’re forced to, or because they can’t find alternatives.”
Google and Facebook did not immediately respond to the Washington Examiner’s request for comment.
