Kalamazoo Times

The social media giant Facebook has put on the defensive as Michigan Attorney General Dana Nessel joined a group of 48 attorney generals in a bipartisan lawsuit alleging illegal practices to develop a monopoly.

The lawsuit charges Facebook with violating Section 2 of the Sherman Act along with multiple violations of Section 7 of the Clayton Act. A press release from the Nessel’s office reports the court is asked to halt the illegal, anticompetitive conduct and deny the company from committing future such acts. Facebook would also be required to give New York and other plaintiff states advance notice on any acquisition with a price tag of $10 million or more. The final request is for any additional relief deemed appropriate from the court.

Facebook dates back to 2004 and has used a number of different methods to maintain its foothold in the marketplace. Facebook Chairman, Chief Executive Officer and controlling shareholder Mark Zuckerberg has sought to “build a competitive moat” around the social network. By acquiring smaller and potential rivals and squashing third-party developers that had been invited to use the platform, Facebook has profited handsomely and maintained its standing. In doing so, its users have lost privacy without other viable options.

The lawsuit accuses Facebook of taking people’s personal information for its own business interests. Users are also unable to transfer their contact lists to another medium, leaving them to either stay or start rebuilding their social media lives.

Many of those social media options have already been consumed by Facebook. Companies that have appeared to present a threat. Social media companies such as Instagram and WhatsApp have been bought out for exorbitant amounts of money, far beyond their estimated value the press release reported. Facebook has also had a history of inviting third-party apps to use its platform, profiting off of them. The company have followed up by denying access starting in 2011, choking off any viability and future they may have as confidence is lost. The end result is they are forced out of the market.

Facebook also profits by selling off specifically targeted advertising through access to its user’s personal information, preferences and political leanings. The more time spent on Facebook, the more dollars can be gained through advertising revenue.

"Facebook’s power as a monopoly has been solidified through its methodical erosion of any and all viable competition in this arena,” Nessel said the press release reported. “My colleagues and I seek to protect consumers and their data by ending Facebook’s illegal, anticompetitive conduct and prevent this type of predatory behavior in the future.”