Judge James Boasberg has rejected the FTC’s antitrust lawsuit against Mark Zuckerberg’s Meta, allowing the company to retain its acquisitions of Instagram and WhatsApp. Boasberg is facing articles of impeachment filed this month over his role in the “Artic Frost” probe of Republicans.
The Washington Post reports that in a major legal victory for Meta, U.S. District Judge James Boasberg ruled that the tech giant’s purchases of photo-sharing app Instagram in 2012 and messaging app WhatsApp in 2014 did not violate antitrust laws. The decision ends a five-year legal battle initiated by the FTC that sought to force Meta to divest the two popular apps.
The FTC had argued that Meta, formerly known as Facebook, held an illegal monopoly in the “personal social networking” market that included its main Facebook platform as well as Instagram and rivals like Snapchat. The agency alleged that Meta used its dominant market position to buy or crush potential competitors, ultimately depriving users of more diverse and innovative social media options.
However, Judge Boasberg concluded that the FTC failed to adequately prove that Meta operates as a monopoly. In his ruling, Boasberg stated that Meta faces a “broad internet ecosystem of competitors” rather than the narrow market definition put forth by the government.
“With apps surging and receding, chasing one craze and moving on from others, and adding new features with each passing year, the FTC has understandably struggled to fix the boundaries of Meta’s product market,” Boasberg wrote. “Even so, it continues to insist that Meta competes with the same old rivals it has for the last decade, that the company holds a monopoly among that small set, and that it maintained that monopoly through anticompetitive acquisitions.”
Boasberg noted the rapidly evolving nature of the social media and messaging app landscape, with new entrants and shifting user preferences, made it difficult for the FTC to clearly define the market boundaries in which Meta allegedly held monopoly power. Ultimately, the judge determined the agency did not meet the burden of proof for its claims.
The court ruling represents a major win for Meta, which has increasingly relied on the reach and popularity of Instagram and WhatsApp to bolster its advertising business, attract younger audiences, and expand its user base globally. In the years since the acquisitions, Instagram and WhatsApp have become integral to Meta’s overall strategy, including its recent push into artificial intelligence with the integration of conversational AI across its social platforms.
In a statement provided to Breitbart News, Meta Chief Legal Officer Jennifer Newstead wrote, “The Court’s decision today recognizes that Meta faces fierce competition. Our products are beneficial for people and businesses and exemplify American innovation and economic growth. We look forward to continuing to partner with the Administration and to invest in America.”
Breitbart News reported this month that Judge Boasberg is facing fresh articles of impeachment over his role in the “Arctic Frost” probe:
The text of the impeachment resolution obtained by Fox News reads, “Ignoring his responsibility to wield the power of his office in a constitutional manner, Chief Judge Boasberg granted Special Counsel John L. Smith authorization to issue frivolous nondisclosure orders in furtherance of the Federal Bureau of Investigation project codenamed ARCTIC FROST.”
“These nondisclosure orders covered Members of Congress who were acting in accord with their legislative duties and privileges guaranteed by Article 1, Section 6, Clause 1 of the U.S. Constitution,” the text adds.
Last month, redacted Arctic Frost documents, which included subpoenas of phone records for ten senators and one House lawmaker, were made public by Sen. Chuck Grassley (R-IA).
Read more at the Washington Post here.
Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship.
