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FTC lawsuit over Meta’s Instagram and WhatsApp acquisitions heads to trial in April

The lawsuit, initially filed in 2020 during the Trump administration, accuses Meta of maintaining an illegal monopoly in personal social networking by acquiring potential competitors

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New Delhi: Meta Platforms is scheduled to go to trial in April over allegations by the US Federal Trade Commission (FTC) that the company acquired Instagram and WhatsApp to stifle competition. 

The lawsuit, initially filed in 2020 during the Trump administration, accuses Meta of maintaining an illegal monopoly in personal social networking by acquiring potential competitors.

The FTC contends that Meta overpaid for Instagram in 2012 and WhatsApp in 2014 to eliminate emerging threats rather than compete fairly in the mobile ecosystem. 

US District Judge James Boasberg has set the trial date for April 14, rejecting Meta's earlier motion to dismiss the case, which argued that the lawsuit's narrow definition of social media markets did not consider competition from platforms like TikTok, YouTube, X, and LinkedIn.

This case represents a significant test for antitrust enforcement in the tech sector, with potential implications for how mergers are scrutinised in the future. 

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