The FTC is reportedly investigating Meta’s VR division for antitrust violations

The image is by Alex Castro.

The US Federal Trade Commission and at least three states are investigating Meta for antitrust violations in its virtual reality division. The report says that the FTC and attorneys general from New York, Tennessee, and North Carolina began speaking with third-party VR developers who have concerns about Meta. It is one of many probes into Meta's dominance in the small but growing market of virtual reality.

There are well-known controversies around Meta and its virtual reality division. Regulators have asked developers if the app store discriminates against third-party apps whose features overlap with its own offerings, and they have also questioned Meta's strategy of selling the headset at a $299 price point. The FTC did not comment on the report.

The FTC is investigating Meta's acquisition of Within, the company behind Supernatural. The US Justice Department investigated similar claims in late 2020. Around the same time, German regulators announced an investigation.

Compared to other Meta divisions, VR has gotten little attention. A judge revived the FTC's antitrust lawsuit against the company earlier this week, after the case was thrown out last year. As Meta has begun emphasizing its role as a steward of a virtual reality-based universe, the area may invite more legal scrutiny.