Zuckerberg Testifies in Landmark Antitrust Trial Targeting Meta’s Acquisitions
Meta CEO Mark Zuckerberg took center stage in a major antitrust trial, defending the company against claims that it unfairly dominated the social media market by acquiring Instagram and WhatsApp.
These two platforms, which were small startups at the time of their purchase over a decade ago, have since become dominant players under Meta’s ownership.
On the opening day of the trial, Federal Trade Commission attorney Daniel Matheson began by calling Zuckerberg to the stand, attempting to demonstrate that Meta bought both platforms not for innovation, but to maintain a tight grip on social networking.
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Zuckerberg Faces Questions Over Instagram’s Rise
During questioning, Matheson presented internal messages in which Zuckerberg expressed dissatisfaction with Meta’s development of its own photo-sharing app.
“The way I read this message is that I’m not happy about how we’re executing on that project,” Zuckerberg acknowledged.
When asked if this was related to Instagram’s rapid ascent, he replied, “That does seem to be what I’m highlighting,” noting that he constantly pushes his teams to improve.
As the day went on, Zuckerberg appeared visibly irritated when Matheson pressed him about Instagram’s rapid growth. “I don’t have the full timeline of Instagram’s development in my head,” he responded, suggesting others might be more equipped to recall such details.
Matheson also questioned Meta’s post-acquisition strategy for Instagram. He referenced remarks suggesting that Facebook would prioritize its own platform and withhold investment from Instagram.
Zuckerberg pushed back: “In practice, we ended up investing a ton in it after we acquired it,” he testified.
In his opening remarks, Matheson accused Meta of leveraging its dominant market position for profit while consumer satisfaction declined.
He argued that Meta built a “moat” around itself by acquiring rivals. In contrast, Meta’s attorney Mark Hansen dismissed the FTC’s claims as inconsistent and flawed.
“This lawsuit, in summary, is misguided,” he stated, asserting that “anyway you look at it, consumers have been the big winners.”
This case represents the first major trial under President Donald Trump’s Federal Trade Commission to address the power of major tech companies. Originally filed in 2020—when Meta was still named Facebook—the suit alleges the company stifled competition by acquiring rising challengers.
According to the FTC, Zuckerberg’s acquisition strategy stems from a 2008 mantra: “It is better to buy than compete.”
The complaint accuses Facebook of routinely acquiring or undermining competitors to protect its dominance, especially as the industry transitioned from desktop to mobile platforms.
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