The FTC is reportedly probing Meta’s VR business for antitrust violations

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Following the announcement that the Federal Trade Commission’s antitrust complaint against Meta had overcome a crucial obstacle earlier this week, the agency is reportedly taking a keen interest in the company’s virtual reality operations.

According to Bloomberg, the Federal Trade Commission and several state attorneys are investigating Meta’s virtual reality section for “possible anti-competitive actions.” According to reports, New York is in charge of the state-level probe, speaking with independent software developers that create applications for Meta’s virtual reality experience.

State and federal investigators are investigating whether or not the corporation engaged in anti-competitive activities to limit competition in the virtual reality sector. According to Bloomberg, the authorities were particularly interested in how the firm subsidizes the price of its Quest 2 virtual reality headset to force it on customers and keep the competition at bay.

Inquiries into Meta’s app store, hardware, and software operations by the Federal Trade Commission (FTC) imply that the company’s acquisitions aren’t its sole strategy in what might be a significant antitrust case that defines the future age of internet enterprises.

According to a December story in The Information, the Federal Trade Commission (FTC) was investigating Meta’s planned purchase of Supernatural, a virtual reality fitness app, in a transaction valued at more than $400 million.

A court determined earlier this week that the Federal Trade Commission’s significant antitrust action against Facebook (which is owned by parent corporation Meta) may proceed, dismissing the company’s attempt to have the case dismissed. Earlier this month, Facebook filed a motion to dismiss the lawsuit and requested that FTC Chair Lina Khan, a proponent of breaking up big tech, disqualify herself from the proceeding.

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In that lawsuit, the Federal Trade Commission accuses Facebook of misusing its market position to suppress competition in the social media arena. It goes so far as to urge a court to order parent company, Meta, to sell itself of its holdings in Instagram and WhatsApp, among other things.

“The facts asserted this time around to support those theories, on the other hand, are considerably more substantial and specific than they were before, especially about the dimensions of Defendant’s putative monopoly,” said U.S. District Judge James Boasberg in his ruling.

While the agency may have difficulty proving its charges in the future, the Court finds that it has already overcome the pleading threshold and may move to the discovery phase.

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