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The state says it demanded information from the social media giant in June for an investigation launched last year and that the company’s response has been “patently deficient.”
The takeover of Instagram, which now has 1 billion monthly active users, is seen by some as a deal that shouldn’t have been allowed by the FTC because Instagram posed a real threat to Facebook’s social media dominance.
The social network giant has withdrawn its appeal of the fine levied last year, settling the case without any admission of guilt, the U.K. Information Commissioner’s Office said in a statement on Wednesday.
One of the biggest challenges tech companies face is how to handle the rise of manipulated audio and video clips, or so-called deep fakes, as well as disinformation spread by actual political candidates.
The move would mirror efforts in other countries, like France and the U.K., to develop tax policies that can better account for operations of digital and virtual companies that have seen exponential growth.
Lawmakers made it clear that they are skeptical that Facebook should be trusted with the tremendous power it has amassed over 2.7 billion global users.
The big internet platforms are facing unprecedented scrutiny after years of virtual inaction in Washington. Both the Justice Department and the FTC have announced broad reviews of the technology sector.
U.S. lawmakers from both parties slammed Apple Inc. and Chief Executive Officer Tim Cook on Friday for “censorship of apps” at the “behest of the Chinese government.”
Dominant tech companies have gained enormous competitive advantages from data, which deserves special attention from antitrust officials and lawmakers, according to Federal Trade Commissioner Rohit Chopra.
Technology companies that control their own ecosystem can become their own private watchdogs, raising questions about whether they play fair, said Margrethe Vestager, the EU's incoming digital affairs czar.