Meta faces a new trial that will jeopardize the ownership of Instagram and WhatsApp.

  • Facebook's parent company Meta Platforms will face a new trial in the US.
  • The FTC seeks to undo the acquisitions of Instagram (2012) and WhatsApp (2014)
  • The case revolves around alleged monopolistic practices in the social media market.
  • If successful, Meta could be forced to sell both divisions.

Meta faces trial for buying Instagram and WhatsApp

Meta Platforms is once again at the center of controversy after it learned that a new trial will be held in the United States to decide whether it should divest two of its main services: Instagram and WhatsApp. This legal action is part of a judicial offensive led by the Federal Trade Commission (FTC), an agency that has been trying to challenge the Californian company's acquisitions for years.

The case, which represents one of the biggest legal challenges for the company led by Mark Zuckerberg since its founding, scrutinizes how Meta consolidated its dominance in the social media space. The FTC seeks to argue that these purchases were not solely intended to improve its services or expand its portfolio. On the contrary, they were part of a deliberate strategy to eliminate potential competitors before they could pose a real threat.

Meta faces a trial that dates back years

Instagram's acquisitions in 2012 and WhatsApp in 2014 They were approved at the time by regulatory authorities and viewed with relative optimism. However, over time, both platforms grew to become key players in Meta's digital empire. These transactions raised suspicions within the legal and technological community regarding their impact on competition.

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After several unsuccessful attempts by the FTC to initiate proceedings, the agency filed a complaint in 2020, which was dismissed for lack of evidence. However, the commission reformulated and strengthened its case in 2021, with new arguments and more supporting documentation, ultimately allowing the court to admit it for consideration.

Learn the details of Meta's lawsuit regarding its purchase of Instagram and WhatsApp.

What is at stake for Meta with this trial

The impending legal battle could have far-reaching consequences for the global technology landscape. If the judgment were to conclude in favor of the FTC, Meta would be forced to divest Instagram and WhatsApp., which would not only affect its dominant position on social media but also its business model based on data collection and targeted advertising.

Analysts warn that a potential spinoff would represent an unprecedented reorganization in the technology sector, reconfiguring relationships between platforms and changing how users interact with them. It would also affect the digital advertising market, in which Meta holds a significant market share alongside Google.

Accusations focused on monopoly

At the epicenter of the lawsuit is the accusation that Meta used its position to stifle competitionAccording to the FTC, rather than innovating internally, the company opted to acquire potential rivals during its early stages of development, thereby preventing new alternatives from emerging for consumers.

The US agency emphasizes that Instagram and WhatsApp, when they were acquired, were already showing solid growth and unique capabilities that could have led to direct competition with Facebook. By acquiring them, Meta consolidated its hegemony by controlling the platforms preferred by different demographic and geographic segments.

Meta rejects the accusations in her trial

The tech company has strongly denied the FTC's claims and maintains that its acquisitions were legal and supervised at the time.From their perspective, preventing these transactions years later would set a dangerous precedent for other companies in the sector seeking to expand through strategic acquisitions.

Meta argues that both Instagram and WhatsApp flourished thanks to the financial and technological support provided since their integration into the company. To support his position, he points out that both apps continue to operate relatively independently. Furthermore, they have continued to develop with their own roadmaps, without having been fully absorbed at a functional level.

Changing political and regulatory context

This new trial comes at a time when US authorities are seeking to rein in the power of Big Tech more firmly.The current administration has repeatedly expressed concern about the dominance of a few companies in key sectors, including social media and instant messaging.

Globally, there are similar moves by the European Union and other jurisdictions, where Meta has faced sanctions for issues related to privacy, competition, and content moderation. This reflects a paradigm shift from the more permissive approach of previous years.

What could happen if Meta loses the trial?

In case of losing the trial, Meta would have to carry out a complex and delicate divestment process, which would involve parting with these assets.This would include the creation of independent business structures for Instagram and WhatsApp, the transfer of shared technologies, and the renegotiation of agreements with third parties.

Legal experts estimate that the process could drag on for years and open a new era in the relationship between big tech companies and regulators. Other firms such as Google, Amazon, and Apple are also expected to closely monitor this case, as it could set a precedent for similar situations in the future.

Meanwhile, the trial is shaping up to be a key battleground for defining how free competition will be understood in the digital age. We'll have to wait and see how the litigation develops and what arguments prevail in an environment increasingly sensitive to the power that technology platforms wield over millions of people.

The holding of this new trial marks a turning point not only for Meta, but for the entire digital ecosystem. The decisions made in this process could redefine the business model of social media and impose limits. It is, therefore, an opportunity to rebalance the relationships between users, companies, and regulators in a constantly changing environment.