Benzinga | Jul 23, 2021 12:19PM EDT

EU Will Possibly Investigate Facebook's Kustomer Acquisition: Reuters

* Facebook Inc's (NASDAQ:FB) acquisition of U.S. customer service startup, Kustomer, is likely to attract the EU antitrust probe after its initial review ends in Aug, Reuters reported.

* It expects the acquisition to boost WhatsApp, which noted a pandemic-induced demand surge.

* Facebook expects to gain a better product to sell businesses alongside their other services and tap the budding customer service industry leading to a newer revenue stream, TechCrunch reported.

* It becomes very vital considering the growing competition from TikTok and Snap Inc's (NYSE:SNAP) Snapchat.

* Reuters had previously reported about possible scrutiny as the global regulators tighten rules over the Big Tech acquisitions to protect the smaller players.

* Price action: FB shares traded higher by 6.21% at $372.99 on the last check Friday.