Just over a month after Facebook’s widely-reported acquisition of Instagram for one billion dollars, there are strong signals that the purchase may be delayed by the FTC. Although Facebook’s CEO (and majority shareholder) Mark Zuckerberg was able to single-handedly approve the deal without consulting the company’s Board of Directors, he does not have control of the Federal Trade Commission, and a deal won’t be ratified unless the federal agency approves the purchase.
As reported by the New York Times, the FTC is investigating whether the acquisition of Instagram by Facebook would raise antitrust problems. The deal is still expected to go forward, but could certainly be delayed by the government regulators.