US EditionMeta prevails in historic FTC antitrust case, won’t have to break off WhatsApp, Instagram
Judge Boasberg found Meta faces strong competition from TikTok and YouTube, blocking FTC's attempt to force divestiture of Instagram and WhatsApp after a five-year case.
- On Tuesday, U.S. District Judge James Boasberg ruled that the FTC failed to prove Meta holds a monopoly, allowing Meta to keep Instagram and WhatsApp.
- The Federal Trade Commission sued Meta in 2020 alleging it acquired Instagram and WhatsApp to eliminate rivals under a 'buy or bury' strategy and sought divestiture to restore competition.
- Testimony during the seven-week trial showed executives and old emails, as Boasberg wrote that people treat TikTok and YouTube as substitutes for Facebook and Instagram, adding the FTC offered no empirical evidence of substitution.
- The ruling spares Meta a breakup and preserves key revenue sources tied to Instagram and WhatsApp, while the FTC can appeal and Meta celebrated, saying the decision recognizes fierce competition.
- The ruling highlights challenges in unwinding historical mergers as regulators face rapidly evolving platforms; James Boasberg noted the online social media landscape has changed since the FTC filed in 2020.
287 Articles
287 Articles
Social media: Meta doesn't have to divest Instagram and WhatsApp after a judge ruled the company isn't a monopolist in the social media market.
The Facebook group Meta wins a cartel process in the USA. It will not split up, Instagram and Whatsapp can keep it. This is a black day for democracy. Donald Trump will be happy.
Judge James E. Boasberg decided to favour the Meta, considering that the company does not have a monopoly on social networks built through acquisitions. FTC, who presented the action, says "disillusioned".
A US court has concluded one of the most important technology disputes in recent years. Meta Platforms can keep both Instagram and WhatsApp, after the court concluded that its acquisition did not violate competition rules. The verdict, reported by Reuters, represents a significant weakening of long-standing pressure from US regulators.
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