Meta Asks Judge To Dismiss FTC Antitrust Case Mid-Trial, Says Instagram, WhatsApp Deals Didn't Create Monopoly

Benzinga
2025.05.16 08:24
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Meta Platforms Inc. has requested a federal judge to dismiss the FTC's antitrust case, arguing that the agency has not proven that its acquisitions of Instagram and WhatsApp created a monopoly. The trial, which began on April 14, focuses on whether Meta dominates the social media market. Meta claims that WhatsApp had no plans to compete with Facebook and that Instagram's growth occurred post-acquisition. The FTC alleges Meta used a "buy or bury" strategy to eliminate competition. The judge may allow the trial to continue or rule on Meta's request soon.

Meta Platforms Inc. META asked a federal judge on Thursday to throw out the Federal Trade Commission’s antitrust case, arguing the agency failed to prove Meta maintained an illegal social media monopoly through its acquisitions of Instagram and WhatsApp.

What Happened: The request comes midway through a high-stakes trial that began April 14, where the FTC has sought to establish that Meta dominated the market for social platforms used to share updates with friends and family, Reuters reported. The FTC is seeking to unwind Meta’s acquisitions of Instagram and WhatsApp, deals completed more than a decade ago.

Meta argues the evidence presented at trial shows WhatsApp had no plans to expand into a social network rival to Facebook, and that Instagram only grew after its acquisition. The company also contends the FTC failed to meaningfully distinguish between supposed friends-and-family sharing apps and content platforms like TikTok.

“The through line connecting all of these social apps is that each vies to show the most compelling user-generated content so that it can take as much user time and attention as possible from the other apps, including Meta’s apps,” the company said in its filing.

Why It Matters: The FTC’s case centers on allegations that Meta employed a “buy or bury” strategy to neutralize competition. Prosecutors highlighted a 2008 email where CEO Mark Zuckerberg reportedly stated it was “better to buy than compete,” framing the acquisitions as tactics to eliminate rising competitors.

Zuckerberg, who testified for three hours on the trial’s first day, argued the acquisitions were necessary to adapt to evolving user preferences and pointed to competition from TikTok and YouTube Shorts as evidence of a dynamic market.

U.S. District Judge James Boasberg could decline to rule on Meta’s request and allow the trial to continue into June, the report noted. If he doesn’t grant Meta’s motion, both sides will file final briefs and present closing arguments after Meta completes its evidence presentation.

Former FTC Chair Lina Khan, who stepped down in January, previously stated there is “no expiration date when it comes to the illegality of the transaction,” underscoring the agency’s position that Meta’s acquisitions remain subject to regulatory scrutiny.

Photo Courtesy: Skorzewiak on Shutterstock.com

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