US FTC probes YouTube over social media policies, Bloomberg News reports

The U.S. Federal Trade Commission (FTC) has been actively investigating Alphabet Inc.'s video platform, YouTube, over potential violations of consumer protection laws regarding the enforcement of its user and content policies. According to reports, the agency is in the final stages of preparing a potential lawsuit against the tech giant. The inquiry, which has been underway since last year, focuses on whether YouTube misled users into joining the platform by misrepresenting content rules before subsequently banning accounts or demoting user content. The regulatory probe is led by the FTC's Bureau of Consumer Protection under Director Chris Mufarrige and aligns with Chairman Andrew Ferguson's increased focus on online platforms' speech enforcement practices. Although some career staff within the FTC have reportedly expressed reservations about proceeding with litigation, the agency has reiterated its intent to pursue enforcement where appropriate. Alphabet faces growing regulatory headwinds across multiple divisions, and a formal FTC enforcement action could pose new legal risks and operational challenges for YouTube's moderation practices.