FTC to appeal loss in Meta monopoly case
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The Federal Trade Commission is appealing the loss in its case against Meta challenging the acquisitions of WhatsApp and Instagram as an illegal monopoly, the agency announced on Tuesday.
Why it matters: Meta won in court last November, but the FTC's appeal shows their battles with the government over acquisitions they made more than a decade ago are not yet over.
- It also shows Meta CEO Mark Zuckerberg's recent overtures to President Trump, such as donating to his new White House ballroom and appearing at his inauguration, only go so far.
Driving the news: "Meta has maintained its dominant position and record profits for well over a decade not through legitimate competition, but by buying its most significant competitive threats," Daniel Guarnera, FTC Bureau of Competition director, said in a release.
- "The Trump-Vance FTC will continue fighting its historic case against Meta to ensure that competition can thrive across the country to the benefit of all Americans and U.S. businesses."
Catch up quick: The FTC, which originally sued Meta during President Trump's first administration, argued in court that the tech giant shouldn't have been allowed to purchase Instagram in 2012 and WhatsApp in 2014, even though both deals were previously blessed by the FTC.
- A U.S. federal judge ruled that Meta did not break antitrust laws by illegally stifling competition through its purchases of Instagram and WhatsApp.
- "The District Court's decision to reject the FTC's arguments is correct, and recognizes the fierce competition we face. We will remain focused on innovating and investing in America," a Meta spokesperson said in a statement on Tuesday.
