FTC moves to revive antitrust suit challenging Meta’s Instagram and WhatsApp buys

The Federal Trade Commission is pressing to revive a landmark antitrust case against Meta Platforms, telling reporters it will appeal a federal judge’s November dismissal of the agency’s challenge to Meta’s acquisitions of Instagram and WhatsApp. The move signals the FTC’s intent to keep alive one of the most significant attempts to roll back consolidation in digital social networks.

The lawsuit, originally filed in December 2020 when Meta was still known as Facebook, alleged that the company spent billions to acquire Instagram (2012, about $1 billion) and WhatsApp (2014, about $19 billion) to neutralize nascent competitive threats and thereby preserve a monopoly in personal social networking services. The FTC argued at trial that Meta’s “buy-or-bury” strategy harmed consumers by stifling competition and sought remedies that could have included structural relief forcing the sale or separation of Instagram and WhatsApp.

A bench trial concluded in late May 2025. On Nov. 18, 2025, U.S. District Judge James Boasberg granted Meta’s motion to dismiss, finding that the company does not currently hold monopoly power in the relevant market. In his decision, Judge Boasberg pointed to competition from rival services, notably TikTok and other platforms, as evidence that Meta no longer dominates personal social networking services to the point of monopoly.

Following the ruling, the FTC filed a notice of appeal and announced on Jan. 20–21, 2026 that it intends to press the case before the U.S. Court of Appeals for the D.C. Circuit. FTC spokesperson Joe Simonson told reporters that “our position has not changed.” Daniel Guarnera, director of the agency’s Bureau of Competition, has been quoted saying, “The Trump-Vance FTC will continue fighting its historic case against Meta to ensure that competition can thrive across the country to the benefit of all Americans and U.S. businesses.”

Meta has vigorously disputed the agency’s claims. Meta spokesperson Andy Stone posted on X that Judge Boasberg’s decision “is correct - and it recognizes the fierce competition we face. Meta will remain focused on innovating and investing in America.” The company contends that market dynamics and rival platforms demonstrate robust competition in social networking, undermining the FTC’s monopoly theory.

The appeal will test contested questions about how courts should define markets and measure competitive harm in fast-moving digital services. The FTC’s bid to force divestitures of two of Meta’s most prominent consumer apps would be an unusually aggressive remedy in antitrust law and could reshape how regulators approach mergers in technology sectors.

The litigation also underscores the uneven results of recent high-profile antitrust enforcement. Separate cases have produced divergent outcomes, most notably court decisions finding Google to hold illegal monopolies in certain markets. The Meta appeal will give the D.C. Circuit an opportunity to clarify the standards for monopoly power and merger enforcement in the digital era.

As of this week the FTC has lodged its notice of appeal but has not filed substantive appellate briefs. The pace and arguments that follow will determine whether the case returns to the district court or whether the appellate court narrows or redefines the legal tests applied to modern platform markets. The outcome could have wide implications for competition policy, consumer choice, and how dominant tech platforms pursue acquisitions.