Meta wins FTC case over its Instagram and WhatsApp buys

Core Viewpoint - The federal judge ruled that Meta's acquisitions of Instagram and WhatsApp did not stifle competition, effectively dismissing the FTC's attempts to reverse these deals, marking a significant legal victory for Meta [1][2]. Group 1: Legal Ruling - U.S. District Judge James Boasberg stated that the FTC failed to demonstrate that Meta holds monopoly power in the personal social networking market or that the acquisitions illegally maintained such a monopoly [2]. - The judge emphasized that without evidence of Meta's dominance in a clearly defined market, the federal challenge could not succeed [2][4]. Group 2: FTC's Argument - The FTC argued that Meta's acquisitions were "killer acquisitions" that eliminated fast-growing competitors and locked users into Meta's ecosystem, following a "buy or bury" strategy [3][4]. - The agency's case relied on a narrow market definition and internal communications from Meta's CEO, which suggested a strategy to acquire rather than compete [4]. Group 3: Meta's Defense - Meta countered the FTC's claims by presenting a broader view of competition, highlighting rivals such as TikTok, YouTube, and Snapchat, asserting that user attention, rather than friend lists, defines the current market [5]. - The judge agreed that excluding TikTok and YouTube undermined the FTC's case, stating that the social media landscape has significantly changed since 2020 [5]. Group 4: Case Background - The case has been ongoing since December 2020, initiated by the Trump-era FTC and 46 states, accusing Facebook of illegally maintaining a monopoly through its acquisitions [6]. - The initial complaint was dismissed in 2021 for lack of evidence, but a revised filing was allowed to proceed in 2022, leading to a lengthy trial involving key figures from Meta [6].