In a closely watched antitrust trial, Meta Platforms CEO Mark Zuckerberg testified in defense of the company’s past acquisitions of Instagram and WhatsApp—deals now at the center of a legal battle that could have far-reaching consequences for the social media industry.
The U.S. Federal Trade Commission (FTC) contends that Meta violated antitrust laws by acquiring Instagram in 2012 and WhatsApp in 2014 to eliminate emerging competitors and maintain its dominance in the social media space. If successful, the case could force Meta to divest from the two platforms, posing a potentially existential threat to the company’s business model, Reuters reported.
Zuckerberg, dressed in a dark suit and light blue tie, calmly rebutted the FTC’s claims during his testimony, arguing that Meta’s acquisitions have spurred innovation and benefited users. “We misunderstood how social engagement online was evolving,” he admitted, noting that the 2018 shift to prioritize posts from friends failed to capture users’ increasing preference for content consumption through messaging and interest-based feeds.
The FTC’s legal strategy hinges on internal Meta communications in which Zuckerberg expressed concerns that Instagram and WhatsApp could grow into powerful competitors. The agency argues these acquisitions were designed to neutralize potential threats, cementing Meta’s monopoly over platforms primarily used for personal content sharing.
Meta, in contrast, claims that competition in the sector has intensified, citing the rise of TikTok, YouTube, and Apple’s messaging services. The company contends that these platforms offer viable alternatives, with Zuckerberg noting that during TikTok’s temporary U.S. shutdown in January, traffic surged on Facebook and Instagram—demonstrating direct competition.
A central question in the trial will be how consumers use different social platforms, and whether services like Snapchat and MeWe can be considered legitimate substitutes for Meta’s core offerings. The FTC maintains that Meta monopolizes the space for sharing content with friends and family, arguing that broader platforms like TikTok or YouTube—geared toward broadcasting to strangers—do not serve the same function.
Should the FTC prevail in the months-long trial, it would then face the additional burden of proving that forcing a divestiture would restore competitive conditions in the market. Losing Instagram, in particular, would be a severe blow to Meta’s financial structure. While Meta does not break out revenue by app, market analysts at Emarketer estimate Instagram will generate over $37 billion in U.S. ad revenue in 2025—accounting for more than half of Meta’s total domestic advertising income.
WhatsApp, although less lucrative today, is Meta’s most-used platform by daily users. The company is ramping up efforts to monetize it through business messaging and chatbot integrations, which Zuckerberg described as a key part of Meta’s future growth strategy.
The case also has political dimensions, tracing back to former President Donald Trump’s push to regulate Big Tech. The current lawsuit is seen as a test of that initiative’s staying power. Despite Meta’s efforts to align more closely with Republican priorities—such as scaling back content moderation policies and contributing $1 million to Trump’s inauguration—the legal pressure on the company has not abated.
This trial joins a wave of ongoing antitrust actions against major technology firms, including Amazon, Apple, and Google, all of which are facing increased scrutiny from U.S. regulators. With proceedings expected to continue into July, the outcome of Meta’s trial could set a powerful precedent for the future of antitrust enforcement in the tech sector.
