The Federal Trade Commission (FTC) is once again contesting Meta's market dominance, pursuing an appeal against a November court decision that absolved the company of holding an illegal monopoly in the personal social networking sector. This ongoing issue stems from Meta's acquisitions of Instagram in 2012 and WhatsApp in 2014, which the FTC claims were executed to stifle competition.
The FTC has taken the matter to the US Court of Appeals for the District of Columbia, asserting that the evidence presented at the trial level showcased the impropriety of Meta's acquisitions. During these proceedings, there was a push for Meta to potentially divest from Instagram or WhatsApp to break up its ownership.
In a statement on Tuesday, the FTC reiterated its stance, alleging that for more than ten years, Meta has unlawfully preserved its monopoly in personal social networking services through anti-competitive strategies, specifically the acquisition of perceived competitive threats like Instagram and WhatsApp.
Despite ongoing tensions between Meta and former President Donald Trump, the FTC's decision appears unaffected by these dynamics. During Trump's previous term, he criticized Meta—then known as Facebook—and its CEO, Mark Zuckerberg, for being anti-Trump. In 2021, Meta further strained their relationship by banning Trump's accounts.
Even as Zuckerberg has attempted reconciliation, including making a $1 million donation towards Trump's inauguration fund and a $25 million settlement over lawsuits concerning account suspensions, the FTC has maintained its focus on the case against Meta. On Tuesday, spokesperson Joe Simonson emphasized the seriousness of the issue, stating that the crackdown is essential as the agency contends that Meta violated antitrust laws with its acquisitions, negatively impacting American consumers.