Court Rejects Monopoly Allegations
A US district judge in Washington ruled that Meta did not break antitrust law when it bought Instagram and WhatsApp more than ten years ago. The decision deals a major blow to the Federal Trade Commission, which sued Meta in 2020 and claimed the company gained monopoly power through those purchases. Judge James Boasberg wrote that the agency failed to meet its burden of proof and stated that Meta does not control the social-media market. Meta welcomed the ruling and highlighted the intense competition it faces.
Executives Point to Fierce Rivals
The judge presided over an April bench trial that featured testimony from CEO Mark Zuckerberg and former COO Sheryl Sandberg. They said TikTok and YouTube disrupted the market and reduced Meta’s influence. Boasberg noted that the FTC approved the 2012 Instagram purchase and the 2014 WhatsApp acquisition. The agency argued that Meta overpaid, offering $1 billion for Instagram and $19 billion for WhatsApp. The judge described a fast-changing industry where apps rise quickly, fade fast, and update features constantly. He said the FTC did not prove that Meta still holds market power and pointed to Meta’s declining share.
FTC Shows Deep Disappointment
The FTC said it had not decided whether to appeal and voiced strong frustration. Spokesperson Joe Simonson said the agency was reviewing all options and argued the process felt unfair. He referenced past political disputes involving the judge and noted efforts by some lawmakers to remove him from office. The judge was asked for comment.
Decision Prevents Company Break-Up
The ruling protects Meta from a possible break-up that could have forced it to spin off Instagram and WhatsApp. Meta said its products support people and businesses and reflect American innovation. A spokesperson said the company will continue to work with the administration and keep investing in the United States.
Experts See Shifting Legal Momentum
The judgment follows two Justice Department wins against Google involving search and advertising technology. Another judge recently declined to order Google to divest its Chrome browser. Vanderbilt professor Rebecca Haw Allensworth said the Meta ruling may influence future antitrust cases. She added that it does not signal failure for the government’s broader crackdown and described the overall picture as mixed.
Observers Note Early Challenges
Many legal experts said the FTC faced major hurdles from the start. University of Georgia professor Laura Phillips-Sawyer said rapid market changes complicated the case. She added that early comments from Zuckerberg suggested an effort to weaken a rising competitive threat.
Meta Faces Other Legal Battles
Meta still confronts significant legal pressure. Zuckerberg must testify in a key case about social media’s impact on young people. Last month, a Los Angeles judge rejected Meta’s attempt to avoid his in-person appearance in January. Instagram chief Adam Mosseri will also testify in a case alleging that social-media companies design addictive features for young users while knowing the mental-health risks.
