Meta vs. FTC: Major Antitrust Trial Begins

It’s been over a decade since the U.S. Federal Trade Commission approved Facebook’s acquisitions of Instagram and WhatsApp. But starting today, the social media giant—now known as Meta—must defend itself against monopoly allegations brought by the very same agency in a major antitrust trial.

The Arguments

The FTC is essentially admitting it made a mistake, now claiming that by allowing Meta to buy WhatsApp and Instagram, it enabled the company to unlawfully stifle competition in the social media space. As a result, the agency argues that Meta should be forced to divest. Meta, on the other hand, argues that “every 17-year-old in the world knows” it competes with platforms like TikTok, YouTube, X (formerly Twitter), iMessage, and others in what some jokingly refer to as the “brainrot” economy.

The Key Players

The trial could also shed light on whether CEO Mark Zuckerberg’s past lobbying of former President Trump will influence the outcome. New FTC Chair Andrew Ferguson suggested that if Trump ordered the case to be dropped, he would comply—provided it was a lawful order. Still, unless that long shot plays out, several former and current Meta executives are expected to testify, alongside leaders from TikTok, Google, Snap, and YouTube.

The Consequences

If Meta is forced to divest its major platforms, the impact on its business could be significant. Instagram alone is projected to account for half of Meta’s U.S. ad revenue this year. While both Instagram and WhatsApp are profitable, Zuckerberg sees them as essential distribution platforms for the company’s AI assistant—part of what he believes is the next frontier in tech innovation.