The FTC for more than a year has been looking into whether Facebook (NASDAQ:FB) is abusing its market position to stifle competition, and while no final decision to sue has been made, sources say the agency is preparing to do so, reports the Journal.
The article does note the FTC appeared on track to sue Google in 2013, but ultimately decided not to pull the trigger.
The FTC has two paths forward should it decide to move against Facebook. One would be a lawsuit in federal court, and the other would be an in-house complaint, in which the case would before an administrative judge.
Facebook is down 2.5% after hours.