Following the dismissal of two antitrust lawsuits against the business, Facebook has reached a $1 trillion valuation.
According to Business Insider, Facebook’s stock closed higher on Monday at $355.64 per share, contributing to the trillion-dollar valuation.
The increase came after the Federal Trade Commission and a coalition of state attorneys general filed lawsuits against the social networking company, which were dismissed by a US court.
The Federal Trade Commission claims that Facebook has a monopoly because it controls over 60% of the social-networking market.
The claim was denied by US District Judge James Boasberg in Washington, who indicated that there was no proof to back up their allegation.
In a related complaint, 46 state attorneys general joined a coalition to dispute Facebook’s acquisition of WhatsApp and Instagram, arguing that the purchase was a ploy to stifle competition from up-and-coming social media rivals.
Boasberg dismissed the lawsuit, saying that social networking services are “free to use, and the exact metes and bounds of what exactly constitutes a (social networking) service, including whether aspects of a company’s mobile app or website are included in that definition.”
The dismissal of both charges resulted in a 4.2 percent increase in Facebook’s stock price, valuing the company at $1 trillion.
As a result, Facebook, founded by Mark Zuckerberg in 2004, became the fifth and youngest firm in the United States to surpass the 13-digit mark.
Apple, Microsoft, Amazon, and Alphabet, the parent company of Google, are among the corporations that have achieved this milestone.
by olusanya olutayo