Facebook to Receive Antitrust ProbeCategory: Internet
Posted: May 10, 2012 04:45PM
Facebook will be the subject of a routine antitrust probe as part of its acquisition of Instagram. The deal was initially up for review due to the scale of the purchase, as most mergers valued above $66 million will receive some sort of inquiry. However, the investigation into issues of competition could delay the deal up to six months, and may prevent Facebook from closing the deal before the end of the second quarter as it had initially hoped. Facebook claims that the delay could hurt revenue as it seeks ways to profit from mobile users, but most experts believe that the deal will go through without issue.