> states are comparing them to a government entity

You've got it backwards: Snap said they were doing the bidding of the DHS and the FDA, and as such, their case belongs in Federal court. It was the court that said "No, you aren't, this is going back to state-level court". Per TFA (quoting State v. Snap, Inc., 2026 WL 2525593 (D. Kansas Aug. 27, 2026)):

> "No doubt, Snap performed some services for federal officers. Some of those services—like advertising on Snapchat—reflect no more than a standard arms-length commercial transaction. Other services, like lens production and custom research, didn’t involve a federal officer’s “strict guidance or control” over Snap. Snap thus has failed to identify any conduct that qualifies it as acting under a federal officer"