Antitrust Showdown: Meta Trial Proceeds Despite Trump-Zuckerberg Ties

Meta Platforms, the parent company of Facebook, Instagram, and WhatsApp, begins a high-stakes antitrust trial this week that could have sweeping implications for the tech industry and for CEO Mark Zuckerberg personally. The trial, unfolding in a Washington federal court, stems from a long-running case brought by the Federal Trade Commission (FTC) seeking to unwind Meta’s acquisitions of Instagram and WhatsApp.

According to a statement from the FTC, the agency alleges that Meta pursued these buyouts to eliminate nascent competition, citing internal communications where Zuckerberg expressed concern about Instagram’s growth, calling its potential “really scary.” The FTC contends that these purchases were not merely strategic investments but moves to protect Facebook’s social media dominance by neutralizing emerging threats.

Per statements from the commission, Meta’s acquisition of Instagram for $1 billion in 2012 and WhatsApp for $19 billion in 2014 were part of a broader pattern of anti-competitive behavior. In both instances, the FTC claims, Zuckerberg recognized the future competitive risks posed by the startups and acted to eliminate them before they could grow independently.

Meta’s legal team is expected to argue that the acquisitions were fully vetted and approved by regulators at the time and that the company’s substantial investments and development efforts are responsible for transforming the platforms into the global leaders they are today. They will likely assert that the FTC’s attempt to revisit past approvals sets a dangerous precedent.

Related: Zuckerberg Pushes for Settlement Ahead of Antitrust Trial

The outcome of the case could force Meta to divest from both Instagram and WhatsApp, a move that would significantly reshape the tech landscape. The trial is projected to last at least eight weeks and will see testimony from Zuckerberg, former COO Sheryl Sandberg, and executives from both Meta and competing companies.

According to a statement from FTC Chair Andrew Ferguson, political factors are unlikely to influence the case, despite speculation about a potential change in enforcement under a future Trump administration. “I think that the President recognizes that we’ve got to enforce the laws, so I’d be very surprised if anything like that ever happened,” Ferguson told The Verge, responding to concerns that antitrust action might be relaxed with Trump’s return to office.

Zuckerberg has reportedly made significant efforts to court favor from conservative circles, including donations to Trump’s inauguration fund and changes to Facebook’s content moderation policies that were seen as favorable to Republican voices. However, such efforts may not guarantee political protection. George Hay, a professor of antitrust law at Cornell, noted that Trump might still view Zuckerberg with skepticism, casting doubt on any political rescue.

While a White House-led intervention remains a theoretical possibility, it would require both presidential support and FTC alignment to deem the case without merit — a scenario experts consider highly unlikely at this stage.

The Meta case is one of five major antitrust actions currently underway against Big Tech firms. Last year, Google was found liable for abusing its dominance in the search market, and similar proceedings are ongoing against Apple and Amazon.

After recent court losses for the FTC — including failed efforts to block Meta’s acquisition of VR company Within and Microsoft’s purchase of Activision Blizzard — the commission faces added pressure to secure a win. Still, this trial could mark a turning point in the government’s effort to rein in the growing power of Silicon Valley giants.

Source: France 24