{"id":19295,"date":"2025-04-14T16:06:52","date_gmt":"2025-04-14T16:06:52","guid":{"rendered":"https:\/\/site.itshrt.com\/worldnews\/metas-antitrust-trial-begins-as-ftc-argues-company-built-social-media-monopoly\/"},"modified":"2025-04-14T16:06:52","modified_gmt":"2025-04-14T16:06:52","slug":"metas-antitrust-trial-begins-as-ftc-argues-company-built-social-media-monopoly","status":"publish","type":"post","link":"https:\/\/site.itshrt.com\/worldnews\/metas-antitrust-trial-begins-as-ftc-argues-company-built-social-media-monopoly\/","title":{"rendered":"Meta\u2019s Antitrust Trial Begins as FTC Argues Company Built Social Media Monopoly"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-6606220950177433\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- ItShrt World News -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-6606220950177433\"\r\n     data-ad-slot=\"1882483372\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n<br \/>\n<\/p>\n<div data-testid=\"companionColumn-0\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">The Federal Trade Commission on Monday <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2022\/07\/28\/technology\/ftc-lina-khan-meta.html\" title=\"\">accused Meta of creating a monopoly<\/a> that squelched competition by buying start-ups that stood in its way, kicking off a landmark antitrust trial that could dismantle a social media empire that has transformed how the world connects online.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">In a packed courtroom in the U.S. District Court of the District of Columbia, the F.T.C. opened its first antitrust trial under the Trump administration by arguing that<a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/04\/13\/technology\/meta-ftc-trial-whatsapp-instagram.html\" title=\"\"> Meta illegally cemented a monopoly <\/a>in social networking by acquiring Instagram and WhatsApp when they were tiny start-ups. Those actions were part of a \u201cbuy-or-bury strategy,\u201d the F.T.C. said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Ultimately, the purchases coalesced Meta\u2019s power, depriving consumers of other social networking options and edging out competition, the government said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cFor more than 100 years, American public policy has insisted firms must compete if they want to succeed,&#8221; said Daniel Matheson, the F.T.C.\u2019s lead litigator in the case, in his opening remarks. \u201cThe reason we are here is that Meta broke the deal.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-1\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">\u201cThey decided that competition was too hard and it would be easier to buy out their rivals than to compete with them,\u201d he added.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The trial \u2014 Federal Trade Commission v. Meta Platforms \u2014 <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/04\/14\/technology\/zuckerberg-testifies-meta-trial-ftc.html\" title=\"\">poses the most consequential threat to the business empire<\/a> of <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/01\/07\/technology\/mark-zuckerberg-meta-free-speech.html\" title=\"\">Mark Zuckerberg, the company\u2019s co-founder<\/a>. If the government succeeds, the F.T.C. would most likely ask Meta to divest Instagram and WhatsApp, potentially shifting the way that Silicon Valley does business and altering a long pattern of big tech companies snapping up younger rivals.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Still, legal experts cautioned that it might be challenging for the F.T.C. to win. That\u2019s because the government must prove something unknowable: that Meta, formerly known as Facebook, wouldn\u2019t have achieved the same success without the acquisitions. It is also extremely rare to try to unwind mergers approved years ago, legal experts said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cOne of the most difficult things for antitrust laws to deal with is when industry leaders purchase small potential competitors,\u201d said Gene Kimmelman, a former senior official in the Obama administration\u2019s Department of Justice. Meta, he added, \u201cbought many things that either didn\u2019t pan out or were integrated. How are Instagram and WhatsApp different?\u201d<\/p>\n<p>The efforts continue a yearslong bipartisan pursuit to curtail the vast power that a handful of tech companies have over commerce, the exchange of ideas, entertainment and political discourse. Despite attempts by tech executives to court President Trump, his antitrust appointees have signaled that they will continue the course.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The F.T.C.\u2019s case against Meta is the <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2024\/08\/05\/technology\/antitrust-google-amazon-apple-meta.html\" title=\"\">third major tech antitrust lawsuit<\/a> to go to trial in the past two years. Last year, the D.O.J. won its antitrust case against Google for monopolizing internet search. A federal judge is set to hear arguments over remedies, including a potential breakup, next week. The D.O.J. also completed a separate trial against Google for monopolizing ad technology, which is still being decided by a federal judge.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-2\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">The Justice Department has also sued Apple, and the F.T.C. has sued Amazon, accusing the companies of antitrust violations. Those trials are expected to begin next year.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The case against Meta could affect its 3.5 billion users, who on average log onto Facebook, Instagram or WhatsApp multiple times a day for news, shopping and texting. Instagram and WhatsApp have attracted more users in recent years as Facebook, Meta\u2019s flagship app, has stopped growing.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">F.T.C. Chairman Andrew Ferguson was in the courtroom to listen to the government\u2019s opening statement. Meta\u2019s chief legal officer, Jennifer Newstead, and Joel Kaplan, its chief global affairs officer, also attended.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Presiding over the case is Judge James Boasberg, 62, the senior judge in the federal court. He is already in the national spotlight for rejecting the Trump administration\u2019s effort to use a powerful wartime statute to summarily deport Venezuelan migrants it deemed to be members of a violent street gang.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Judge Boasberg said he had never been a user of Meta\u2019s apps, but was familiar with Facebook Live, which has been featured in criminal trials.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-3\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">During what is projected to be an eight-week trial, the government and Meta are expected to tell competing versions of the company\u2019s 20-year growth story.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The F.T.C.\u2019s argument hinges on Section 2 of the Sherman Antitrust Act of 1890, which forbids a company from maintaining a monopoly through anticompetitive practices.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The F.T.C. accused Facebook, as the company was previously known, of struggling to build a mobile app and fearing that Instagram would rapidly outpace it in popularity. The company overpaid when it purchased Instagram in 2012 for $1 billion, the F.T.C. argued.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">In 2014, as WhatsApp grew, Meta offered to buy the company for $19 billion \u2014 also far above its market value, the government said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The F.T.C. plans to highlight a paper trial of emails between Meta executives, alongside other evidence, to argue that the company bought the start-ups because they were threats.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-4\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">The government is set to call witnesses from Meta, as well as competitors, venture capitalists, economists and media industry executives. Mr. Zuckerberg was expected to be called as the first witness as soon as Monday. The F.T.C. said former chief operating officer, Sheryl Sandberg, and Kevin Systrom, co-founder of Instagram, will testify this week.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-6606220950177433\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- ItShrt World News -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-6606220950177433\"\r\n     data-ad-slot=\"1882483372\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/www.nytimes.com\/2025\/04\/14\/technology\/meta-antitrust-trial-ftc.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Federal Trade Commission on Monday accused Meta of creating a monopoly that squelched competition by buying start-ups that stood<\/p>\n","protected":false},"author":1,"featured_media":19296,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[39],"tags":[451,1216,4292,123,114,119,3071,120,4293,130,450,124,219,118,113,111,1122,129],"class_list":["post-19295","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-technology","tag-acquisitions-and-divestitures","tag-antitrust-laws-and-competition-issues","tag-boasberg","tag-computers-and-the-internet","tag-donald-j","tag-facebook-inc","tag-federal-trade-commission","tag-instagram-inc","tag-james-e","tag-mark-e","tag-mergers","tag-mobile-applications","tag-regulation-and-deregulation-of-industry","tag-social-media","tag-trump","tag-united-states-politics-and-government","tag-whatsapp-inc","tag-zuckerberg"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.2 - 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