Zuckerberg Defends Meta’s Acquisitions in Critical Antitrust Trial
(RTTNews) – Meta CEO Mark Zuckerberg began his testimony on Monday in a significant antitrust lawsuit. The Federal Trade Commission (FTC) is accusing Meta of holding an illegal monopoly over the social media landscape through its high-profile acquisitions of Instagram and WhatsApp.
The ongoing case in the US District Court for the District of Columbia poses serious implications for Meta. A ruling against the company could force it to divest these two platforms, significantly transforming its primary operations and impacting the broader technology ecosystem.
The FTC contends that Meta’s acquisition strategy was designed to neutralize potential competitors before they gained traction. In his opening remarks, FTC attorney Daniel Matheson stated that consumers currently face “no reasonable alternatives” to Meta’s services, which together attract 3.3 billion daily users and reported over $160 billion in advertising revenue last year.
As part of his testimony, Zuckerberg defended the acquisitions as crucial in responding to the fast-changing digital environment. He explained how Facebook has shifted its focus from personal connections to more curated content. He acknowledged a decline in the “friend” aspect of the platform but insisted it still plays a critical role in its identity. He also highlighted the strategic importance of messaging, referring to it as “symbiotic” to Facebook’s overall service offerings.
Evidence presented by the FTC included internal emails from 2011 and 2012, where Zuckerberg recognized Instagram as a “viable competitor” in the mobile photo market. He expressed concerns about potential acquisitions by competitors like Google and identified WhatsApp as essential to enhancing Meta’s position in mobile communications.
This trial challenges the ability to regulate technology retrospectively, focusing on the potential market dynamics had these acquisitions not occurred. Should the court side with the FTC, it could lead to one of the most significant breakups of a technology company in recent history.
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