Facebook slides after state-led antitrust probe ramps up to include 47 attorneys general

AP Photo/Nick Wass

• Shares of Facebook traded as much as 4.4% lower on Tuesday as an antitrust probe led by New York Attorney General Letitia James expanded to include 47 state attorneys general.
• The investigation is expected to focus on how Facebook has handled consumer data and whether the company has stifled competition.
• The probe was initially announced in September with the backing of eight states including New York.
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Facebook's stock price tumbled as much as 4.4% on Tuesday as an antitrust probe led by New York grew to include 47 attorneys general from US states and territories.

The investigation was initially announced in September with the support of eight states including New York. The probe is expected to focus on whether Facebook's handling of consumer data and if the company has engaged in any anti-competitive practices.

"Our investigation now has the support of 47 attorneys general from around the nation, who are all concerned that Facebook may have put consumer data at risk, reduced the quality of consumers' choices, and increased the price of advertising," New York Attorney General Letitia James said in a statement on Tuesday.

The expanded probe comes as Facebook already faces a different antitrust investigation being carried out by the Federal Trade Commission. Facebook also paid the agency a $5 billion fine to settle another probe regarding the social media giant's data privacy practices.

Facebook CEO Mark Zuckerberg is also set to testify on Capitol Hill on Wednesday to answer question's about Libra, the company's cryptocurrency project.

For a full list of the attorneys general joining New York's antitrust probe and their statements, click here.

Shares of Facebook are up roughly 40% year-to-date.

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