Facebook Founder Mark Zuckerberg Faces Court as FTC Takes Aim at Meta's Empire

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Facebook Founder Mark Zuckerberg Faces Court as FTC Takes Aim
Mark Zuckerberg, CEO of Meta testifies before the Senate Judiciary Committee at the Dirksen Senate Office Building on January 31, 2024 in Washington, DC. Anna Moneymaker/Getty Images/Getty Images

Meta CEO Mark Zuckerberg appeared in federal court on Monday to defend his company against a major antitrust case brought by the Federal Trade Commission (FTC).

The case could lead to Meta being forced to separate from Instagram and WhatsApp, two of its most powerful platforms.

The FTC says Meta has too much control over the social media world by owning Facebook, Instagram, and WhatsApp.

In court, FTC attorney Daniel Matheson said Meta didn't just innovate—it bought up its competition. "It's what happened next that is a problem," he said in his opening remarks.

Zuckerberg, who first launched Facebook from his Harvard dorm room, took the witness stand to explain why he purchased Instagram in 2012.

He told the court that Facebook had been trying to build its own photo app but wasn't catching up fast enough.

"Instagram seems like it's growing quickly," Zuckerberg wrote in a 2011 email. In another message from 2012, he admitted Facebook was "so far behind" that it may never catch up on mobile photos, CNN said. That's when the company decided to buy Instagram.

WhatsApp, purchased in 2014, was also mentioned in court. The FTC believes both apps gave Meta an unfair advantage and removed choices for users.

Meta disagrees, saying its services are free and face strong competition from TikTok, YouTube, and other platforms.

Meta Says FTC Case Threatens Innovation and Costs Millions

Meta's lawyer Mark Hansen argued that Instagram and WhatsApp got better after Meta bought them. He added that Meta has never charged users and can't be a monopoly without pricing control.

"How can the FTC maintain this monopolization case when [Meta] has never charged users a cent?" he asked.

Zuckerberg will return to the stand Tuesday. He's also expected to answer questions about Facebook's change from a friend-based network to a platform focused on showing people interesting content through features like groups and the news feed.

According to CBS News, Judge James Boasberg, who is hearing the case, will also listen to testimonies from former Meta leaders like Sheryl Sandberg and Instagram co-founder Kevin Systrom.

This trial is one of the most serious legal battles Meta has ever faced. If the FTC wins, Meta may have to break up the company, which made over $164 billion in revenue last year. Instagram alone brings in nearly half of Meta's ad earnings.

Meta said the FTC's lawsuit is unfair and could hurt innovation. "This weak case is costing taxpayers millions of dollars," Meta said in a statement. The FTC declined to comment.

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Mark Zuckerberg, Meta

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