FTC Antitrust Case Could Force Meta to Sell Instagram and WhatsApp
Meta is currently facing a landmark antitrust trial in the United States that could result in the tech giant being forced to divest Instagram and WhatsApp. The US Federal Trade Commission (FTC) argues that Meta, formerly Facebook, acquired both platforms over a decade ago with the intent of neutralizing potential competition, referencing a 2008 statement by Mark Zuckerberg suggesting it was better to ‘buy than compete.’ Instagram was acquired in 2012, followed by WhatsApp in 2014. At the time, the FTC approved both acquisitions.
Now, the FTC is challenging those approvals, pointing to internal emails that suggest the motive behind the deals was to eliminate emerging rivals. Zuckerberg, the first witness in the case, testified that he was primarily interested in Instagram’s camera technology. Meta contends the case is baseless and argues that it faces robust competition from platforms like TikTok and YouTube.
If the FTC wins, the breakup could reshape the social media landscape, though the immediate impact on users may be minimal. However, experts suggest that smaller, separate entities would be easier to regulate. Instagram, now a key revenue driver for Meta, is forecast to bring in over $37 billion in US ad revenue in 2025. The trial, which could last two months, marks a significant moment in the U.S. government’s efforts to rein in Big Tech’s dominance.
