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Facebook To Pay Italian Firm $4.72 Million In Damages For Copying Feature

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Facebook must pay about $4.72 million in damages to an Italian developer over the social network’s ‘Nearby’ feature after being ordered by a judge. A Milan-based appeals court upheld a 2019 ruling saying Facebook had copied the feature from developer Business Competence’s Faround app according to a report by Reuters.

 

The issue began in 2012 after Business Competence launched Faround designed to help users find Facebook friends near their location. The app took off and gained popularity in Italy according to a previous Reuter report.

 

Facebook however launched its own Nearby feature not long after. Facebook’s feature competed with the likes of Foursquare and Yelp, with Faround downloads plummeting as a result.

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The Italian developer filed a lawsuit in response in 2013. Reuters had reported that the court issued a preliminary ruling in its favor in 2016, and made it public in 2017.

 

Facebook discontinued the Nearby feature for its Italian users but also appealed the ruling. Business Competence has continued to win the appeals, even years later. This latest decision increased the amount of damages that Facebook will have to pay.  The amount was initially set at 350,000 euros.

 

The judges said that the social media giant copied the ‘Nearby’ feature from Business Competence’s app ‘Faround’. Faround enabled users to identify shops, clubs, restaurants in their area via geolocalisation.

 

“We have received the court’s decision and are examining it carefully,” a Facebook spokesman told Reuters.

 

 

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