$5 billion was not saved: the FTC again took up the investigation of Meta violations

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The constitutional grounds for freezing the case were ignored by the Court of Appeal.

A U.S. appeals court has rejected Meta's request to suspend an investigation by the U.S. Federal Trade Commission (FTC) into the privacy practices of its Facebook * division. Meta had previously objected to the investigation, citing the payment of a $ 5 billion fine and the introduction of a number of security measures.

The FTC is seeking to tighten Facebook's 2020 privacy agreement by banning profit-making from using underage data and expanding restrictions on facial recognition technology. The agency accuses Meta of misleading parents about child protection.

The court's decision is a defeat for Meta, which has asked the court to freeze the FTC's case while it conducts a separate lawsuit challenging the FTC's investigation on constitutional grounds.

The appeals court stressed that the FTC's stated privacy concerns "affect important public interests," and that Meta will have the opportunity to challenge any final actions of the agency.

Meta said the court order "does not address the substance of the FTC's allegations, which are without foundation." In turn, the FTC declined to comment.

Meta, which owns WhatsApp, Instagram and Facebook, says the FTC cannot "unilaterally rewrite" the terms of a previous agreement approved by a US court in 2020.

Meta claims that the FTC's proposed changes "will limit the development of new Meta products, control the company's corporate governance, and degrade Meta's ability to serve its users and advertisers."

The FTC, in response, said that the agreement setting out new compliance and oversight requirements was not intended to settle absolutely all claims at all times.

In addition to their platforms, Meta and other social media companies often face lawsuits in the United States, accusing them of making children dependent on their platforms. TikTok is one of these platforms.

The FTC also recently sued Meta for allegedly monopolizing the social media market, something the company actively denies.
 
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