Meta Defeats FTC in High-Profile Antitrust Trial
In a major victory for Meta (formerly Facebook), a federal judge dismissed the FTC’s antitrust lawsuit targeting the company’s acquisitions of WhatsApp and Instagram. The ruling deals a blow to regulators aiming to rein in Big Tech’s dominance.
FTC’s Failed Antitrust Challenge
The FTC sued Meta in 2020, alleging its purchases of Instagram (2012, $1B) and WhatsApp (2014, $19B) were anti-competitive. Regulators claimed these deals suppressed potential rivals, denying users more innovation and choice.
However, Judge James Boasberg ruled the FTC provided insufficient evidence of harm to competition. This mirrors his 2021 dismissal of the FTC’s initial complaint, which he called “speculative.”
Meta’s Defense: Growth Over Monopoly
Meta argued both platforms flourished post-acquisition:
– Instagram grew from 13 employees to a billion-user app
– WhatsApp added encryption and global reach without ads
“The deals spurred innovation, benefiting consumers,” a Meta spokesperson stated after the verdict.
Broader Impact on Tech Regulation
Big Tech Implications
The ruling strengthens Meta’s legal footing as regulators target other giants (Google, Amazon, Apple). Experts say proving antitrust harm in tech remains legally challenging.
Critics: A Blow to Competition
Advocacy groups warn the decision encourages monopolistic behavior. “This lets Meta keep swallowing competitors,” said Fight for the Future.
What’s Next?
- FTC may appeal, but faces uphill battle
- EU investigations into Meta continue
- US lawmakers push for tougher antitrust laws
The case underscores the tightrope walk between innovation and market fairness in tech.
