The FTC's antitrust lawsuit against Meta, set to begin in Washington, arises from a lengthy investigation into potential violations during the acquisitions of Instagram and WhatsApp. The government argues these tactics aimed at eliminating competition and maintaining monopoly power, encapsulated in the supposed 'buy or bury' strategy of acquiring potential rivals. With the trial likely lasting several weeks, key figures including CEO Mark Zuckerberg are expected to testify. The FTC seeks to unravel these acquisitions to promote competition against smaller social media firms.
The government contends that a 'buy or bury' strategy propelled Meta's acquisitions, leading Meta to gobble up competitors it viewed as threats, or to squash the rivals out of business altogether.
In a 2012 internal email government lawyers plan to present, Zuckerberg wrote that buying Instagram was motivated by a desire to 'neutralize a potential competitor.'
The government argues the only way to restore competition to the social media marketplace is for Meta to be forced to unwind its purchase of both Instagram and WhatsApp.
At stake is the future Meta's $1.4 trillion advertising business and the prospect of having to spin off its hugely popular services into separate companies.
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