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Facebook facing series of real challenges as US law makers issue seroius warning

Here's how US lawmakers could finally rein in Facebook

Change is going to come. No question."

"We are serious about taking action."

"Here's my message for Mark Zuckerberg: Your time of invading our privacy, promoting toxic content, and preying on children and teens is over. Congress will be taking action."


Facebook, now known as Meta (FB), has faced scrutiny on Capitol Hill for years, with executives — including Zuckerberg — repeatedly grilled in Congressional hearings. But if these and other comments from lawmakers during hearings in recent months are any indication, 2022 could shape up to be a make-or-break year in the long-running effort to regulate Facebook.


Congress is currently considering around a dozen proposed bills targeting Big Tech, some of which could force Meta to change how it handles algorithmic recommendations and collecting user data, as well as its ability to make acquisitions. A bipartisan group of 10 state attorneys general launched an investigation late last year into Meta, focused on the potential harms of its Instagram platform on young users.

And last week, a federal judge said the Federal Trade Commission could move forward with a lawsuit seeking to break up Meta, after the company had argued the complaint should be dismissed. (The case could drag on for years.) The FTC and several state attorneys general are also reportedly investigating Meta's Oculus virtual reality unit over antitrust concerns, according to a Bloomberg report Friday citing people with knowledge of the matter.

Some industry watchers have pointed to recently appointed federal officials such as FTC Chair Lina Khan, a vocal tech industry critic, and the sharper focus of lawmakers as cause for optimism that something may happen on the regulatory front.

"You're seeing a lot less of the politicized commentary and a lot more focus and coordination on these issues, the underlying technology behind them and the business model," said Katie Paul, director at the tech advocacy group Tech Transparency Project. "It's clear that a lot of these members of Congress have done their homework and they understand what they're looking at."

Still, after years of talk and glimmers of progress, it remains unclear if or when US lawmakers and regulators might take successful action — as their EU and UK counterparts have — that would limit Meta's power, as well as that of Big Tech more broadly. And the window of opportunity may be limited as preparations for the US midterm elections could divert attention from advancing new legislation.

Recent revelations from former Facebook employee and whistleblower Frances Haugen and the hundreds of internal documents she leaked have galvanized bipartisan support for new legislation related to protecting children online. But the likelihood of success for the many other Meta-related proposals is murkier, and not just because of the company's immense lobbying power.

Despite their agreement that something should be done to address Big Tech's dominance -— and to crack down on Meta in particular — Democrats and Republicans are divided on what the core problem really is. Republicans accuse Facebook of anti-conservative bias, despite a lack of evidence, while Democrats are concerned that the company doesn't do enough to protect against hate speech, misinformation and other problematic content.

The stakes for action, or inaction, are only growing. The "Facebook Papers" revealed a wide range of potential real-world harms and consequences from Meta's platforms. Yet, lawmakers are largely still playing catch up in understanding and regulating the company's older platforms, even as Meta pushes to transition into a "metaverse company" and perhaps shape a whole new generation of user experiences.

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