Facebook’s Monopolization of Social Advertising


In Klein, et al. v. Facebook, Inc., 5:20-cv-08570-LHK (N.D. Cal.), plaintiffs allege that Facebook orchestrated a years-long scheme to monopolize the social advertising market and charge supracompetitive prices to its advertising customers.  First, Facebook surreptitiously identified nascent competitors and acquired, copied, or killed them, ensuring no other viable alternative social advertising platform might emerge.  In addition to its attempts to destroy would-be competitors, Facebook also reached an anticompetitive agreement with Google. In exchange for Facebook’s agreement not to compete with Google’s ad exchange monopoly, Google agreed to stay out of Facebook’s social advertising monopoly and extend its reach by helping Facebook track its users beyond the Facebook ecosystem.  Scott+Scott was appointed co-lead counsel on behalf of a proposed class of advertisers.

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Antitrust