US states, FTC initiate probe into Meta’s VR business: Report
San Francisco, Jan 15 (IANS) Signalling more trouble for Meta (formerly Facebook), several US states have reportedly kicked off a probe into anti-trust violations in its Virtual Reality (VR) division, which seeks to build Metaverse.
Attorneys General from New York, North Carolina and Tennessee along with the US Federal Trade Commission (FTC) are investigating Meta’s VR business practises, after speaking withAseveral third-party VR developers, media outlets reported on Friday.
Meta is a pioneer in launching VR/AR projects. Social media giant Facebook has already said it will spend more than $10 billion to build out its vision for Metaverse. It has also announced plans to hire 10,000 people to help build the Metaverse.
Last month, the US FTC opened an antitrust probe in Meta’s plan to buy the popular VR fitness app Supernatural for over $400 million, as the social network begins its journey towards creating Metaverse.
According to a report in The Information, Meta’s first five VR app acquisitions went through without a fuss because they were too small to be reviewed by the US antitrust regulators.
“But those regulators are slowing down the $400 million-plus Supernatural deal, according to two people with knowledge of the situation,” the report said.
In addition to building Oculus VR headsets, Meta has acquired at least six companies in the field, including the developer of Supernatural, a VR fitness app that became a hit.
The market for transactions in the Metaverse is expected to reach $6.1 billion this year, as tech giants like Meta (formerly Facebook) aim big on the VR/AR-based technology to bring deeper immersive experiences to billions in the future.