The chief executive of Meta, tech giant Mark Zuckerberg, has lobbied President Trump and his ministers to resolve a federal antitrust lawsuit against his firm scheduled for trial on April 14, according to sources.
Mr. Zuckerberg has traveled multiple times to the White House and Mar-a-Lago to address this issue and others, according to sources. His latest visit to the White House was Wednesday morning.
In 2020, during Mr. Trump’s first term, the Federal Trade Commission filed a lawsuit against Meta. It is alleged that the company hindered competition by acquiring emerging start-ups like Instagram and WhatsApp. Thereby preventing them from evolving into fully developed businesses. Meta might settle the lawsuit, but it remains uncertain if Mr. Zuckerberg’s actions have prompted the Trump administration to contemplate a settlement.
Andy Stone, a Meta spokesperson and owner of Facebook, stated that the company “frequently engages with policymakers to address issues related to competitiveness, national security, and economic growth.” Earlier reports from The Wall Street Journal provided details on these meetings.
In its complaint, the F.T.C. asserted that Meta broke antitrust law by buying young competitors and robbing consumers of other social media sites. The F.T.C. contended that Meta’s 2012 acquisition of the photo-sharing platform Instagram for $1 billion and its 2014 acquisition of the messaging platform WhatsApp for $19 billion must not have been permitted.
The company aimed to “buy or bury innovators that posed a threat to outcompete Facebook in the emerging mobile landscape,” the F.T.C. stated in its complaint.
Meta has refuted claims that it acquired Instagram and WhatsApp to stifle competition. It emphasises its significant investments in innovation for these apps. Additionally, Meta stated that it still encounters strong competition from rivals such as TikTok, YouTube, Snap, and iMessage.
The acquisitions of Instagram and WhatsApp turned out to be insightful decisions. Instagram now plays a vital role in Meta’s operations, contributing billions in yearly revenue. Meanwhile, WhatsApp has grown fourfold to reach two billion users and has begun to generate substantial revenue for Meta. A federal judge dismissed the antitrust lawsuit in 2021. However, it was quickly reintroduced after the F.T.C. provided additional evidence and analysis to bolster its assertions.
Now a trial is set to start in less than two weeks. The trial will likely involve testimony from Meta’s high-profile executives. It includes Mr. Zuckerberg, Sheryl Sandberg, former chief operating officer, and Kevin Systrom, co-founder of Instagram.
Meta executives have been preparing diligently for the trial for months in consultation with external counsel in case they are subpoenaed to testify, sources said.
Mr. Zuckerberg’s visits to the White House aim to strengthen Meta’s ties with the government. It is particularly aimed at Mr. Trump, following previous conflicts. In December, Meta revealed a $1 million donation to Mr. Trump’s inaugural fund. Additionally, Mr. Zuckerberg elevated Joel Kaplan, a long-serving Republican executive at Meta, to lead the company’s global public policy efforts and enhance connections with the Trump administration.
