US FTC to Probe Social Media and Streaming Firms

  • Samuel Peterson
  • 11 Mar, 2023
US FTC to Probe Social Media and Streaming Firms

The US Federal Trade Commission (FTC) is set to vote next week on whether to send out demands for information on deceptive advertising to eight social media and video streaming companies. 

While the FTC has not revealed the names of the companies that will receive the demands, reports have suggested that some of the companies may include Instagram, Facebook, WhatsApp, YouTube, and TikTok. This move by the FTC is to determine the steps taken by these companies to detect and remove deceptive advertising from their platforms.

It has been taking a hard look at social media companies in recent years, as deceptive and false advertising has been a major issue. This latest probe could be the most ambitious yet, as the FTC has not identified the social media and streaming companies that would be investigated. 

The FTC has the power to impose fines and other penalties on companies found to be in violation of federal laws. It also has the authority to halt deceptive practices and order companies to pay restitution to consumers. 

It is unclear if the FTC will take any action against the companies it is investigating, but the investigation will provide insights into the practices of some of the biggest tech companies in the world.

It has also been looking into the controversial practice of "microtargeting," which involves targeting ads to specific groups of users based on their interests and demographics. This practice has been criticized for allowing companies to exploit users' personal data for profit. The FTC is also looking into whether social media companies have violated their own terms of service by allowing deceptive ads to be displayed on their platforms.

Investigation into social media and streaming companies is an important step in ensuring that consumers are not being deceived by false or misleading advertising. It is unclear what the outcome of the investigation will be, but it is likely that the FTC will take steps to ensure that these companies are held accountable for their practices. If you have any insights on this topic, please leave a comment below.

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