Facebook Inc said U.S. regulators have cleared its $19 billion acquisition of mobile messaging service WhatsApp, even as the Federal Trade Commission warned the two Internet companies on Thursday that they must not backtrack on commitments to user privacy. The FTC's Bureau of Consumer Protection, in a letter to the two companies on Thursday, said WhatsApp must adhere to its current privacy practices after the merger, including a promise not to use WhatsApp users' personal data for targeted ads."If the acquisition is completed and WhatsApp fails to honor these promises, both companies could be in violation of Section 5 of the Federal Trade Commission Act and, potentially, the FTC's order against Facebook," the letter from Jessica Rich, director of the consumer bureau, read.The letter did not address the status of the government's review of the merger on antitrust grounds. FTC spokesman Jay Mayfield said the agency does not comment on investigations.But a Facebook spokeswoman said that the deal has been approved in the United States, though it has not yet been approved in Europe.
Facebook, Inc. (Facebook) is engaged in building products to create utility for users, developers, and advertisers. Shares of FB fell by 5.21% or $-3.25/share to $59.16. In the past year, the shares have traded as low as $22.67 and as high as $72.59. On average, 63004700 shares of FB exchange hands on a given day and today's volume is recorded at 114069744.
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