Meta Faces Legal Battle Over Instagram and WhatsApp Acquisitions

Meta Platforms, formerly Facebook, faces a trial over allegations by the U.S. Federal Trade Commission. The lawsuit claims Meta bought Instagram (2012) and WhatsApp (2014) to diminish competition in social media. This case is among several antitrust actions against major tech firms by the FTC and the Department of Justice.

Meta Platforms, the parent company of Facebook, is set to face a trial following allegations from the U.S. Federal Trade Commission that it illegally acquired Instagram and WhatsApp to stifle competition. A judge in Washington ruled in favor of moving forward with the trial.

The lawsuit claims that Meta, then known as Facebook, paid exorbitant sums for Instagram in 2012 and WhatsApp in 2014, aiming to neutralize up-and-coming rivals rather than compete in the mobile ecosystem. Meta counters, arguing that the FTC has an overly narrow perspective of the social media market, overlooking competitors like TikTok, YouTube, and LinkedIn.

This lawsuit is one of several significant cases filed by antitrust regulators at the FTC and the U.S. Department of Justice against major tech giants. Companies such as Amazon and Apple are also under legal scrutiny, and Google is currently facing two major lawsuits pertaining to anti-competitive practices.

(With inputs from agencies.)