London Daily

Focus on the big picture.
Saturday, Oct 24, 2026

The US Government Says Facebook Needs To Sell Instagram And WhatsApp

The US Government Says Facebook Needs To Sell Instagram And WhatsApp

Forty-eight attorneys general and the Federal Trade Commission filed suit against the company Wednesday.

Facebook has used illegal monopoly power and an “unlawful scheme” to stifle competition, degrade personal privacy, and crush rivals, according to antitrust lawsuits filed Wednesday by the Federal Trade Commission and attorneys general from 46 states and two territories.

“For nearly a decade, Facebook has used its dominance and monopoly power to crush smaller rivals and snuff out competition, all at the expense of everyday users,” New York Attorney General Letitia James said at a press conference announcing the action. “By using its vast troves of data and money, Facebook has squashed or hindered what the company perceived as potential threats.”

James said the company’s “unlawful scheme” has reduced choices for consumers and “degraded privacy protections for millions of Americans.”

The long-anticipated suits allege that the social networking behemoth has abused its market dominance in order to acquire or kill competitors, abuse the privacy of Americans, and punish rivals who refused to be bought out. The suits cite Facebook’s 2012 acquisition of Instagram and its 2014 purchase of WhatsApp as key examples of its alleged anticompetitive behavior.

The suits ask the courts to permanently stop Facebook from continuing its allegedly illegal behavior, to curtail major new acquisitions by the social network, and to potentially force it to divest its major assets, including Instagram and WhatsApp. The state attorneys general asked the courts to require Facebook to seek their approval for acquisitions valued at or above $10 million.

“Facebook’s actions to entrench and maintain its monopoly deny consumers the benefits of competition,” said Ian Conner, director of the FTC’s Bureau of Competition, in a statement. “Our aim is to roll back Facebook’s anticompetitive conduct and restore competition so that innovation and free competition can thrive.”

In a statement, Jennifer Newstead, Facebook's vice president and general counsel, called the lawsuits' allegations "revisionist history."

"Instagram and WhatsApp became the incredible products they are today because Facebook invested billions of dollars, and years of innovation and expertise, to develop new features and better experiences for the millions who enjoy those products," she said. "The most important fact in this case, which the Commission does not mention in its 53-page complaint, is that it cleared these acquisitions years ago. The government now wants a do-over, sending a chilling warning to American business that no sale is ever final."

Facebook previously defended its actions and acquisitions after the House Antitrust Subcommittee released a report in October that said it and other tech giants have abused their monopoly power.

During public hearings, the subcommittee released emails from Facebook founder and CEO Mark Zuckerberg in which he told a company executive that acquiring Instagram would neutralize a competitor.

“These businesses are nascent but the networks are established, the brands are already meaningful, and if they grow to a large scale they could be very disruptive to us,” Zuckerberg wrote to David Ebersman, then the company's CFO, in early 2012.

Forty-five minutes after sending his email, Zuckerberg attempted to walk back his comments. “I didn’t mean to imply that we’d be buying them to prevent them from competing with us in any way,” he wrote in a follow-up message.

On Wednesday, news of the antitrust lawsuits filtered to employees via articles posted by their colleagues to the company's internal message board. It took several hours after the news broke for Newstead and Zuckerberg to make internal announcements, with Facebook's CEO saying he was "limited in discussing specifics of these cases."

"Overall, we disagree with the government's allegations and we plan to fight this in court," Zuckerberg wrote. He noted that Facebook's competitors including Google, Twitter, Snapchat, TikTok, and others have apps with "hundreds of millions or billions of users."

"Our acquisitions have been good for competition, good for advertisers, and good for people," Newstead wrote in her post to employees.

Inside Facebook, discussion was muted as only a handful of employees commented on posts about the news. Later, company leaders disabled comments on posts discussing the antitrust laswuits, including those from Zuckerberg and Newstead, as part of an October directive from Facebook's chief.

“Given that, you know, anything that any of you say internally is, of course, available to be subpoenaed or used in any of these investigations, I just think we should make sure that people aren't just, you know, mouthing off about this and saying things that may reflect inaccurate data, or generally just are kind of incomplete,” he said in a company-wide meeting in October that was previously reported by BuzzFeed News. “You shouldn't be emailing about these things and you shouldn't really be discussing this in non-privileged forums across the company.”

Newsletter

Related Articles

0:00
0:00
Close
Tour de France Organizers Confirm Historic Grand Depart Featuring Edinburgh and Yorkshire Stages
National Cyber Security Centre Issues Urgent Alerts Following Global Security Vulnerability in Core Programming Software
Independent Energy Analysts Warn Great Britain Faces Highest Winter Power Tariffs in Europe
Major British Defense Contractors Commit to Delivering Forty Thousand New Apprenticeships and Training Placements
New Bradford Railway Station Infrastructure Project Approved to Transform Regional Transit Connectivity Across Northern England
Welsh Infrastructure Stakeholders Press Government for Accelerated Local Sourcing in Military and Uniform Manufacturing
Scottish Council Governance Crisis Triggers High-Court Legal Challenge Over Leadership Ouster Bid
High Street Bakery Chain Greggs Announces Major Factory Closures and Seven Hundred Job Cuts
Automotive Manufacturer Jaguar Land Rover Advances Advanced Defense Technology Partnership with European Allies
Treasury and Bank of England Officials Signal Persistent Concern Over Inflation-Driven Interest Rate Path
International Monetary Fund Upgrades United Kingdom Growth Forecast While Issuing Inflation Warnings
National Health Service Leaders Warn of Severe Capacity Pressures as Early Winter Respiratory Infections Surge
Government Issues Emergency Resilience Guidance Advising All British Citizens to Stockpile Essential Supplies
United Kingdom Private Sector Growth Beats Expectations in October Driven by Resilient Services and Manufacturing
Barclays to Cut Five Thousand Jobs in Major Artificial Intelligence Adoption and Cost-Cutting Overhaul
Piper Tomahawk Aircraft Crash Near Drymen in Stirling Claims Two Lives as Investigators Deploy
North Sea Transition Authority Approves Jackdaw Gas Field Production After Ministerial Authorization
Government Injects One Hundred and Forty Million Pounds to Expand Urgent Care Ahead of Winter Crisis
Department of Health Warns Further Pay Rises Will Derail National Health Service Waiting List Targets
Major Environmental Emergency Declared in South Wales Following Aerospace Kerosene Spill
Tank Barrel Production Returns to Britain as Defence Contractors Accelerate Domestic Rearmament
Government Approves Controversial Jackdaw Gasfield Development in the North Sea
National Health Service Maternity Safety Review Condemned Over Flawed Artificial Intelligence Integration
Dozens of United Kingdom Government Services Taken Offline Amid Critical Software Vulnerability
Barclays Announces Five Thousand Job Cuts Citing Artificial Intelligence Productivity Gains
Treasury Relaxes Post-Financial Crisis Accountability Rules for City of London Executives
United Kingdom Government Issues Unprecedented Guidance Urging Citizens to Stockpile Essential Supplies
United Kingdom Consumer Inflation Accelerates to Eleven-Month High Driven by Transport Costs
United Kingdom Public Sector Net Debt Breaches Three Trillion Pounds Ahead of Autumn Budget
Department for Science, Innovation and Technology Commits Fifty Million Pounds to Establish Regional Artificial Intelligence Innovation Clusters
Ofgem Directs Major Energy Suppliers to Expand Vulnerable Household Support Funds Ahead of Winter Heating Season
Home Office and National Police Chiefs Council Unveil New Intelligence-Led Strategy to Tackle Organised Immigration Crime Networks
First Minister John Swinney Secures Scottish Parliament Approval for Comprehensive Climate and Green Energy Infrastructure Strategy
National Health Service England and Trades Union Congress Finalize Agreement on Emergency Winter Staffing and Pay Frameworks
HM Treasury and Department for Business and Trade Announce Multi-Billion-Pound Sovereign Investment Pact to Spur Regional Advanced Manufacturing
Bank of England Governor Andrew Bailey Signals Potential for Faster Interest Rate Cuts as Domestic Inflation Pressures Ease Below Forecasts
Parliamentary Inquiry Highlights Urgent Need to Address Housing Shortage as Scottish Completions Hit Eleven-Year Low
United Kingdom and Singapore Sign Comprehensive Financial Agreement to Deepen Digital and Sustainable Market Ties
Greggs Announces Plan to Close Four Manufacturing Facilities and Cut Seven Hundred and Forty Jobs
International Monetary Fund Raises United Kingdom Economic Growth Forecast While Warning of Inflationary Pressures
Energy Security and Net Zero Committee Urges Government to Shift Policy Costs Onto Gas to Lower Household Bills
Housebuilding Across Scotland Plummets to Eleven-Year Low Despite Government Pledges to Tackle National Housing Emergency
Greggs Announces Factory Closures Across Northern England and Scotland Affecting Seven Hundred Forty Jobs
United Kingdom and Singapore Conclude Eleventh Financial Dialogue in Singapore to Deepen Cooperation on Digital Finance and Capital Markets
Energy Security and Net Zero Committee Urges Government to Shift Policy Costs to Gas Bills and Tap Windfall Profits to Lower Consumer Prices
British Broadcasting Corporation Announces Major Cost-Cutting Overhaul to Close Linear Broadcast Services for Television Channels BBC Three and BBC Scotland Alongside Digital Radio Station BBC Radio Four Extra
London Capital Markets Face Renewed Scrutiny After High-Profile Offerings Underperform Post-Listing
Green Party Wins Historic First Westminster Parliamentary By-Election in Gorton and Denton
Environment Secretary Emma Reynolds Unveils Sweeping Regulatory Overhaul for English Water Industry
United Kingdom Health Security Agency Confirms Thirty-Four Cases in Kent Meningitis Outbreak
×