Federal Trade Commission Chairman Andrew Ferguson discusses the initiation of an antitrust lawsuit against Meta and explains the deregulation efforts of the Trump administration.
On Monday’s Mornings With Maria, Federal Trade Commission (FTC) Chairman Andrew Ferguson highlighted the agency’s antitrust action against Meta Platforms.
A court case emerged after the FTC accused Meta of “engaging in anti-competitive acquisitions to maintain its dominant position” in social networking, progressing to trial on Monday morning.
The agency’s lawsuit specifically targets Meta’s purchases of Instagram and WhatsApp, calling for tech firms to divest or adjust their operations to “restore competition.” These significant acquisitions occurred in 2012 and 2014.
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Maria Bartiromo, host of “Mornings With Maria,” noted that a Meta spokesperson mentioned it has been over a decade since the FTC examined and approved those acquisitions.
Commissioner Andrew Ferguson was appointed last month to lead the FTC. (Screenshots / Federal Trade Commission / FOX News)
Regarding Meta’s legal proceedings, Ferguson informed Bartiromo that the lawsuit initiated under President Trump in 2020 remains relevant today.
“Concerning the finality of a deal, the FTC has not cleared the deal and will evaluate if the transaction is anti-competitive,” he explained.
“We possess substantial evidence indicating that the acquisition was anti-competitive, providing Facebook and Meta considerable power—power that was clearly visible in 2020.” “This case aims to tackle Meta’s power and ensure a repeat of the events of 2020 does not occur.”
Ferguson stated that the FTC views Meta as being “certainly” a “monopoly.”
On April 7th, Meta plans to terminate all third-party fact-checking on U.S. platforms. (Nikolas Kokovlis/Nurphoto Via/Getty Images)
“The evidence we are preparing for trial demonstrates it is a monopoly,” he remarked. “In 2020, we witnessed the significant influence social media platforms have over all aspects of daily life, from politics to social interactions and economic activity.
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Under CEO Mark Zuckerberg, Meta has strongly opposed the FTC’s monopoly assertions, labeling the agency’s case as “weak.”
In a press statement issued over the weekend, the tech firm argued that “it encounters strong competition in a swiftly evolving tech landscape that consists of both domestic and international rivals,” asserting that “competition has increased” since the FTC’s complaint was filed.
Meta contended that the FTC has created a fictional market where Facebook and Instagram compete solely against apps like Snapchat and Mewe. Taking into account platforms like TikTok and YouTube, it stated that its market share is under 30% and competes with numerous other social media sites.
| Ticker | safety | last | change | change % |
|---|---|---|---|---|
| Meta | Meta Platforms Inc. | 543.57 | -2.72 |
-0.50% |
“It’s absurd for the FTC to attempt to dismantle a significant American enterprise while also aiming to support China-backed TikTok,” Mehta stated. “Regulators should not weaken U.S. companies at this critical moment when investment in competition against China in AI leadership is essential.”
During his appearance on “Mornings With Maria,” Ferguson conveyed his distinctive approach towards mergers and acquisitions, identifying himself as an “anti-trust enforcer.”
The FTC Headquarters in Washington, DC, on September 28, 2024. (Stefani Reynolds/Bloomberg Via/Getty Images)
“It’s vital to safeguard all Americans in every area of our lives by ensuring monopolies and scams are absent,” he stated. “However, as you know, mergers and acquisitions play a crucial role in the growth of the economy, and they are essential for innovation and vitality in our economy.”
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Ferguson reflected on the FTC’s involvement in the merger, stating, “If we believe it’s anti-competitive, I will take it to court, and if we determine otherwise, “I won’t intervene immediately.”
Ferguson was appointed as FTC chairperson by Trump on his first day of his second term.
