Judge Dismisses Monopoly Claims
A US district judge in Washington ruled that Meta did not violate antitrust laws when it acquired Instagram and WhatsApp more than ten years ago. The decision delivers a major setback for the Federal Trade Commission, which sued Meta in 2020, arguing the acquisitions allowed the company to dominate social media. Judge James Boasberg wrote that the agency failed to prove its case and concluded that Meta does not hold monopoly power. Meta welcomed the ruling, emphasizing it operates in a highly competitive and rapidly evolving market.
Executives Highlight Intense Market Rivalry
In April, Judge Boasberg presided over a long bench trial with testimony from CEO Mark Zuckerberg and former COO Sheryl Sandberg. They said TikTok and YouTube reshaped the social-media industry and challenged Meta’s influence. The judge noted that the FTC approved the Instagram purchase in 2012 and the WhatsApp acquisition in 2014. The agency argued that Meta overpaid, spending $1 billion for Instagram and $19 billion for WhatsApp. Boasberg described a market that shifts rapidly, with trends rising and fading quickly. He said the FTC failed to show Meta still holds market power and highlighted its shrinking share.
FTC Voices Disappointment
The FTC said it had not yet decided whether to appeal and expressed strong frustration. Spokesperson Joe Simonson said the agency was reviewing all options and claimed the process felt biased. He referenced prior political disputes involving the judge and noted attempts by some lawmakers to remove him from office. The judge was asked for comment.
Ruling Protects Meta from Break-Up
The decision prevents a possible split that could have forced Instagram and WhatsApp to separate from the company. Meta said its platforms support people and businesses and reflect American innovation and economic growth. A spokesperson said the company plans to continue working with the administration and investing in the United States.
Experts Note Shifts in Antitrust Enforcement
The ruling follows two Justice Department wins against Google over search and advertising technology. Another judge recently rejected a push to force Google to divest its Chrome browser. Experts said the Meta decision may influence the pace of future tech cases. Vanderbilt professor Rebecca Haw Allensworth said the ruling does not signal failure for the government’s broader antitrust efforts and described the overall picture as mixed.
Legal Analysts Highlight Early Challenges
Many observers 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 a desire to neutralize a rising competitor threatening the company’s position.
Meta Faces Ongoing Legal Pressure
Meta continues to confront serious legal challenges. Zuckerberg must testify in a landmark trial examining social media’s impact on young people. Last month, a Los Angeles judge rejected Meta’s attempt to avoid an in-person appearance in January. Instagram chief Adam Mosseri will also testify in a case alleging social-media companies design addictive features for young users while knowing the mental-health risks.
