Meta prevails in historic FTC antitrust case
4 days ago
- #Meta
- #antitrust
- #FTC
- Meta won a historic FTC antitrust case, avoiding forced spin-off of Instagram and WhatsApp.
- Judge ruled Meta does not hold a monopoly in social networking, contrasting recent Google rulings.
- FTC failed to prove Meta currently holds monopoly power, despite past acquisitions.
- Case focused on current market conditions, not past acquisitions approved by the FTC.
- Meta argued it faces fierce competition, including from TikTok, now a major rival.
- Judge noted the social media landscape has drastically changed since the lawsuit was filed in 2020.
- Meta's acquisitions of Instagram and WhatsApp helped transition its business to mobile and appeal to younger users.
- FTC's narrow market definition excluded TikTok and others as competitors to Meta's apps.
- Investors reacted neutrally to the ruling, with Meta's stock movement aligning with broader market trends.
- Future regulatory challenges for Meta include upcoming trials on children's mental health impacts.