Facebook’s value tops $1tn after the judge dismisses US lawsuits.
Cases filed by FTC and state attorneys general did not give enough evidence to prove Facebook was a monopoly. In a significant blow to US regulators’ attempt to rein in big tech, a federal judge has dismissed lawsuits brought against Facebook by the Federal Trade Commission and a broad coalition of state attorneys general.
Markets cheered the ruling, sending Facebook shares surging by more than 4%, which pushed the social network’s market value to more than $1tn for the first time.
The US government and 48 states and districts sued Facebook in December 2020, accusing the tech company of abusing its market power in social networking to crush smaller competitors and seeking remedies that could include a forced spin-off of the social network’s Instagram and WhatsApp messaging services.
Facebook shares soared in the aftermath of the decision, propelling it into the club of companies now valued at over $1tn. Since 2018, Apple, Amazon, Microsoft, and Google’s holding company, Alphabet have all crossed that threshold. Facebook, in a statement given to the Associated Press, said: “We are pleased that today’s decisions recognize the defects in the government complaints filed against Facebook. We compete fairly every day to earn people’s time and attention and will continue to deliver great products for the people and businesses that use our services.”
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