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Facebook says it will stop operating in Europe if regulators don’t back down

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Re: Facebook says it will stop operating in Europe if regulators don’t back down

#4
This is interesting. It’s not obvious to my what leverage Facebook has in this situation.

Apple, Google, and Microsoft seem like they all provide goods and services that are hard to replace without a lot of investment.

What does Facebook have except for inertia and network effect?

These are a good moat against competitors and attrition of individual users, but I don’t see how Facebook isn’t easily replaced if it doesn’t comply.

Re: Facebook says it will stop operating in Europe if regulators don’t back down

#8
post #4

This is interesting. It’s not obvious to my what leverage Facebook has in this situation. Apple, Google, and Microsoft seem like they all provide goods and services that are hard to replace without a lot of investment. What does Facebook have except for inertia and network effect? These are a good moat against competitors and attrition of individual users, but I don’t see how Facebook isn’t easily replaced if it does…

Facebook (and Whatsapp, and Instagram) has a truckload of users. I think people would get really mad if they were forced to close shop in Europe. (Not sure that rage would lead anywhere, considering how the EU works...)

Re: Facebook says it will stop operating in Europe if regulators don’t back down

#9
post #8
post #4

This is interesting. It’s not obvious to my what leverage Facebook has in this situation. Apple, Google, and Microsoft seem like they all provide goods and services that are hard to replace without a lot of investment. What does Facebook have except for inertia and network effect? These are a good moat against competitors and attrition of individual users, but I don’t see how Facebook isn’t easily replaced if it does…

Facebook (and Whatsapp, and Instagram) has a truckload of users. I think people would get really mad if they were forced to close shop in Europe. (Not sure that rage would lead anywhere, considering how the EU works...)

Sure - people would get mad. I agree.

But it seems like they wouldn’t stay mad for long and there wouldn’t be any significant economic impact of them just switching to other services.

This is not the same as say if Apple suddenly stopped selling iPhones and Macs or Microsoft stopped providing Azure services.

Re: Facebook says it will stop operating in Europe if regulators don’t back down

#10
post #9
post #8

Earlier quoted context omitted.

Facebook (and Whatsapp, and Instagram) has a truckload of users. I think people would get really mad if they were forced to close shop in Europe. (Not sure that rage would lead anywhere, considering how the EU works...)

Sure - people would get mad. I agree. But it seems like they wouldn’t stay mad for long and there wouldn’t be any significant economic impact of them just switching to other services. This is not the same as say if Apple suddenly stopped selling iPhones and Macs or Microsoft stopped providing Azure services.

Only EU govs have an axe to grind against Facebook because they have to not make GDPR look like a joke.

The end-users, they still want to use Facebook, Instagram, WhatsApp, etc. And they will be quiet vocal if those things stop working.

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