Meta Buy Challenge From FTC Targets Future Harm to Competition

The Federal Trade Commission’s challenge of Meta Platforms Inc.’s acquisition of a virtual reality gaming company revives a little-used argument against Big Tech’s classic acquisition playbook.

The agency, in a July 27 lawsuit in the US District Court for the Northern District of California, alleges Meta’s acquisition of Within Unlimited would likely create a monopoly by eliminating competition for virtual reality fitness applications. Within is the developer of the popular fitness app Supernatural.

But rather than only challenging the acquisition as harmful to competition now, the FTC is primarily alleging that Meta is seeking to eliminate a future competitor.

Big ...