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Could Meta Be Forced To Relinquish Instagram?
An antitrust trial against Meta that begins this week could determine if the social media giant must sell Instagram and WhatsApp.
“Federal regulators accuse the social media giant of using its acquisitions of Instagram and WhatsApp to illegally suppress competition,” Independent reports.
BREAKING: Zuckerberg could be forced to sell Instagram in landmark antitrust trial — BBC
— Insider Paper (@TheInsiderPaper) April 14, 2025
Per Independent:
If the Federal Trade Commission, which brought the suit in 2020, gets it way, Meta could have to spin the popular apps into their own companies, the first major corporate break-up of the Big Tech era and one of the most aggressive anti-trust cases in decades.
Will Mark Zuckerberg’s recent attempts to build a closer relationship with President Trump be enough to stop the worst potential impacts of the case, or will the social media landscape soon look very different? Here’s what you need to know.
In the trial, which will take place in federal court in Washington, D.C., before U.S. District Judge James Boasberg, regulators plan to argue that Facebook’s purchases of Instagram in 2012 and WhatsApp in 2014 were illegal attempts to gain monopoly control under the Sherman Antitrust Act of 1890.
Regulators have suggested they’ll point to internal documents like a 2008 email from Zuckerberg that reads “It is better to buy than compete,” and a 2012 memo describing the $1 billion Instagram deal as a means to “neutral[izing] a potential competitor.”
They are also expected to call Zuckerberg and former Meta executive Sheryl Sandberg to testify.
The government argues this alleged monopoly position has threatened user privacy, fair competition, and the quality of Meta’s offerings.
Meta CEO Mark Zuckerberg may be forced to sell Instagram due to the FTC’s antitrust suit.
Follow: @AFpost pic.twitter.com/WueDV9PymS
— AF Post (@AFpost) April 14, 2025
Barring any eleventh-hour intervention, social media juggernaut Meta will stand trial next week facing serious US government allegations that it abused its market power to acquire Instagram and WhatsApp before they could become competitors. https://t.co/RyEr6PyhOi pic.twitter.com/LAHvV013If
— AFP News Agency (@AFP) April 9, 2025
BBC reports:
The FTC reviewed and approved those acquisitions but committed to monitor the outcomes. If the Federal Trade Commission (FTC) wins the case it could force Meta CEO Mark Zuckerberg to sell off both Instagram and WhatsApp.
Meta previously said it was sure it would win and experts have told the BBC it is likely to argue that Instagram users have had a better experience since it was taken over.
“The [FTC’s] argument is the acquisition of Instagram was a way of neutralizing this rising competitive threat to Facebook,” says Rebecca Haw Allensworth, a professor of antitrust at Vanderbilt Law School.
Ms Allensworth says Mr Zuckerberg’s own words, including those from his emails, may offer the most convincing evidence at trial.
“He said it’s better to buy than to compete. It’s hard to get more literal than that,” Ms Allensworth says.
Meta, on the other hand, is likely to argue that intent is not particularly relevant in an antitrust case.
“They’re going to say the real question is: are consumers better off as a result of this merger?,” she said. “They’ll put on a lot of evidence that Instagram became what it is today because it benefited from being owned by Facebook.”
Mr Zuckerberg and the company’s former chief operating officer Sheryl Sandberg are both expected to testify at the trial, which could run for several weeks.