US Regulator Moves to Block Meta's Acquisition of Within

The Federal Trade Commission has thrown a wrench into Meta's plans to acquire Within, the company behind the popular VR fitness app Supernatural, by announcing its intention to block the deal. According to John Newman, deputy director of the FTC's Bureau of Competition, "Meta is attempting to buy its way to the top instead of competing fairly." The FTC argues that Meta, which already owns a successful VR fitness app and has the capabilities to compete with Supernatural, is trying to acquire its way to dominance rather than earning it through innovation. The regulator claims that allowing the acquisition to proceed would stifle competition in the VR fitness app market, where Supernatural and Meta's own Beat Saber are major players. The FTC's decision to pursue a preliminary injunction against Meta was made with a 3-2 vote, and the complaint has been filed in the US District Court for the Northern District of California. Meta has pushed back against the FTC's claims, with a spokesperson stating that the regulator's case is based on ideology rather than evidence, and that the acquisition would ultimately benefit the VR industry as a whole. The deal, which was first announced last October, has been under investigation by the FTC since late last year. This development comes as Meta has announced plans to increase the price of its Meta Quest headset in order to continue investing in its VR endeavors.