EU to Facebook: WhatsApp, folks?
The European Commission is investigating whether Facebook gave misleading information about its takeover of mobile messaging service WhatsApp.
The EU’s executive body and antitrust watchdog on Tuesday gave Facebook until Jan. 31 to answer a “statement of objections” about merger information the social media giant gave two years ago.
Regulators in Europe are concerned that Facebook can match its users’ accounts with WhatsApp user accounts. The company said in 2014 that it could not do this. But Facebook’s August terms of service and privacy update suggest it can, according to the commission.
“The commission’s prelim- inary view is that Facebook gave us incorrect or misleading information during the investigation into its acquisition of WhatsApp. Facebook now has the opportunity to respond,” EU Competition Commissioner Margrethe Vestager said.
Chief Executive Mark Zuckerberg’s outfit could face fines of up to 1 percent of global revenue if those suspicions are confirmed.
Facebook said it respects the commissioner’s process and is “confident that a full review of the facts will confirm Facebook has acted in good faith.”
Facebook bought WhatsApp for $19 billion in 2014.
Shares slipped 17 cents Tuesday, to $119.07.