Platforms

As American regulators and lawmakers intensify their scrutiny of Big Tech, there is a lot of discussion about whether or how they could accuse the companies of violating antitrust law.

As Facebook prepares for increased competition scrutiny in the US and Europe, its top brass is repeatedly warning lawmakers and regulators that antitrust action could be a distraction from a much bigger threat: China.

The 3rd US Circuit Court of Appeals ruled Amazon can be sued over third-party sales on its platform, setting a potentially damaging precedent for the company. While Amazon sells goods itself, it also allows vendors to sell their products through its Marketplace platform, taking a cut in the process. In late 2014, a woman named Heather Oberdorf ordered a dog collar from a Marketplace seller, but it broke on a walk, sending the leash flying and permanently blinding her in one eye. The seller hasn’t been found, but Oberdorf sued Amazon, accusing the company of negligence.

Big Tech's political woes may only worsen after July 11, when the White House hosts a “social media summit” that could set the stage for even more scrutiny to come.

Sen Ron Johnson (R-WI) sent a letter to Head of Instagram Adam Mosseri and Facebook CEO Mark Zuckerberg, requesting information on how algorithms and artificial intelligence suggest content and users to engage with on their platforms. “After conducting a number of algorithm-related studies, Pew Research Center concluded, ‘Americans express broad concerns over the fairness and effectiveness of computer programs making important decisions in people’s lives.’ As we become aware of the society-wide significance of this influence, the lack of transparency regarding human bias and the use of algo

Sens Ed Markey (D-MA) and Richard Blumenthal (D-CT) sent a letter to Facebook urging the company to institute policy changes in light of evidence that third party game developers manipulated children into spending their parents’ money. Previous reporting by the Center for Investigative Reporting demonstrated that Facebook personnel had direct knowledge that children were spending large sums of their parents’ money on in-app purchases without parental knowledge or permission. New evidence now reveals that Facebook has still not instituted key policy changes to address this issue.

Facebook, Twitter, and Google defended their efforts to combat extremist content and misinformation online before the House Homeland Security Committee on June 26, but lawmakers walked away complaining that they aren’t satisfied with the tech giants’ efforts. “They’re going to have to do more,” said Chairman Bennie Thompson (D-MS), noting that he was dissatisfied with answers on a range of issues. Rep Max Rose (D-NY) offered some of the sharpest criticism, saying the tech firms are offering “technocratic” explanations while “people are being killed.” 

President Donald Trump said the US government “should be suing Google and Facebook and all that,” then wagered that “perhaps we will,” in a new broadside against Silicon Valley at a moment when it already faces heightened antitrust scrutiny in Washington.