Meta's Antitrust Battle: Potential Breakup as Trial Begins

2025-04-14 politics

United States, Monday, 14 April 2025.
On April 14, 2025, Meta faces an antitrust trial over Instagram and WhatsApp acquisitions. The FTC argues these purchases were to eliminate competition, potentially leading to a forced sale.

The Case Against Meta and Key Legal Players

Meta Platforms Inc. begins its trial in a U.S. federal court on 14 April 2025, with the Federal Trade Commission (FTC) alleging that Meta’s acquisitions of Instagram and WhatsApp were strategic moves to suppress competition and maintain monopoly power in the social networking space. The lawsuit, initially filed in December 2020 during Donald Trump’s presidency, has been revitalized under the leadership of FTC Chair Andrew Ferguson [1][2].

Political Underpinnings and Key Figures

Political tensions have played into the proceedings, with former President Trump allegedly influencing the FTC’s compositions by firing Democratic commissioners in favor of Republican appointees. Judge James Boasberg, known for previously ruling against Trump on unrelated matters, is presiding over this significant case [2][3][4]. Meta CEO Mark Zuckerberg has sought resolution by reportedly engaging with President Trump to settle this antitrust dispute [5].

Potential Consequences and Market Implications

If the FTC prevails, Meta could be forced to divest from its acquisitions of Instagram and WhatsApp, a move reminiscent of the historic breakup of AT&T. The trial could potentially reshape the landscape of social media by allowing increased competition, thus enhancing consumer choice and possibly leading to improved privacy protections as smaller companies could thrive in a more open market [4][6][7].

Meta’s Defense and Strategic Arguments

Meta contends that its actions have always complied with fair competition practices and that its acquisition strategies were approved by regulators at the time. The company argues the current social media environment is highly competitive, facing rivals such as TikTok and YouTube, undermining allegations of monopolistic behavior. Meta’s legal team is poised to argue that divesting from these platforms would diminish service quality [1][6][7].

Sources

Meta antitrust